AINS 101 Exam Prep Complete Questions And Answers 2026
1. John is a recent homeowner and is considering the B. The detached garage
insurance coverages he needs for his home and con-
tents. If damaged by a peril covered by a homeowners
policy, which one of the following would be considered
part of John's real property?
Select one:
A. The boat in the driveway
B. The detached garage
C. The desk top computer
D. The hockey net and equipment
2. Which one of the following is considered real proper- B. A house
ty?
Select one:
A. An automobile
B. A house
C. Furniture
D. A motorhome
3. All of the following could lead to a liability loss for a A. The father trips on a
family, EXCEPT: broom he left lying in the
Select one: driveway and breaks his
A. The father trips on a broom he left lying in the arm.
driveway and breaks his arm.
B. The son, who is 13 years old, throws a rock at a
classmate who requires stitches for an injury to his
head.
C. A guest slips on an icy sidewalk in front of the fami-
ly's home and breaks his leg.
D. The daughter, who is 16 years old, sideswipes a
neighbor's car and dents its fender while driving her
own car.
, AINS 101 Exam Prep Complete Questions And Answers 2026
4. Which one of the following is a form of compensatory B. Special damages
damages?
Select one:
A. Real damages
B. Special damages
C. Punitive damages
D. Exemplary damages
5. Which one of the following is used by the majority of B. Tort liability system
states to compensate auto accident victims?
Select one:
A. Personal injury protection coverage
B. Tort liability system
C. Uninsured motorist coverage
D. Unsatisfied judgment funds
6. Which one of the following statements is true regard- C. State regulators require
ing automobile insurance rating? that rates be adequate,
Select one: reasonable, and not un-
A. State regulators require that all insurers offer dis- fairly discriminatory.
counts on auto rates for passive restraints.
B. Most insurers base automobile rates on primary
rating factors and do not consider any other factors in
establishing rates.
C. State regulators require that rates be adequate, rea-
sonable, and not unfairly discriminatory.
D. Drivers with lower-than-average loss exposure are
charged higher rates.
7. All of the following are true of the HO-3 Special Form, A. The HO-3 is designed
EXCEPT: for owners who occupy
Select one:
, A. The HO-3 is designed for owners who occupy their their dwelling or choose to
dwelling or choose to rent it. rent it.
B. The HO-3 meets the property and liability coverage
needs of most families.
C. The HO-3 is typically used as a basis for understand-
ing other HO coverage forms.
D. The HO-3 can be modified for special needs through
available endorsements.
8. Estelle and Richie are very conservative and want to C. HO-5 Comprehensive
purchase insurance to "cover everything" in order to Form
lessen the worries of home ownership. Which one of
the following ISO forms will provide them dwelling and
personal property insurance with the broadest possi-
ble coverage?
Select one:
A. HO-2 Broad Form
B. HO-3 Special Form
C. HO-5 Comprehensive Form
D. HO-8 Modified Form
9. The Agreement and Definitions page of the Personal C. A general agreement
Auto Policy (PAP) includes stating that the insurer
Select one: is providing the coverage
A. The name of the insurer issuing the policy. subject to payment of pre-
B. A general agreement stating the insurer's duty to mium and to the terms of
pay damages and defense costs subject to the terms the policy.
of the policy.
C. A general agreement stating that the insurer is pro-
viding the coverage subject to payment of premium
and to the terms of the policy.
D. The name and mailing address of the insured.
, 10. In the Personal Auto Policy (PAP) definitions, "Your D. A trailer rented by the
covered auto" includes all of the following classes of insured
vehicles, EXCEPT:
Select one:
A. A trailer owned by the insured
B. A temporary substitute auto or trailer
C. A newly acquired auto
D. A trailer rented by the insured
11. Brendan and Sue were on a road trip along the coast of A. Because the Part A
California, using Sue's car. One day they were stuck in insuring agreement ex-
terrible traffic while Brendan was driving. He became cludes intentional harm.
angry when another car merged in front of him. A
few minutes later, Brendan deliberately rammed into
the car that had cut in front of him, causing property
damage to the other car. Both Brendan and Sure were
surprised to learn that Sue's Personal Auto Policy (PAP)
would not cover the claim. Which one of the following
is the correct reason why Sue's PAP will not pay the
claim for property damage to the other car?
Select one:
A. Because the Part A insuring agreement excludes
intentional harm.
B. Because Sue's PAP only covers property damage to
her car.
C. Because Brendan, not Sue, was driving the car.
D. Because Brendan's PAP should cover the claim.
12. Miguel, an insured has a Personal Auto Policy (PAP) C. Would be eligible for
that includes medical payments coverage. The insured medical payments under
crashed his car while trying to be the first car to pull the Personal Auto Policy
away from a stop at a red light when the light turned (PAP) as the named in-
1. John is a recent homeowner and is considering the B. The detached garage
insurance coverages he needs for his home and con-
tents. If damaged by a peril covered by a homeowners
policy, which one of the following would be considered
part of John's real property?
Select one:
A. The boat in the driveway
B. The detached garage
C. The desk top computer
D. The hockey net and equipment
2. Which one of the following is considered real proper- B. A house
ty?
Select one:
A. An automobile
B. A house
C. Furniture
D. A motorhome
3. All of the following could lead to a liability loss for a A. The father trips on a
family, EXCEPT: broom he left lying in the
Select one: driveway and breaks his
A. The father trips on a broom he left lying in the arm.
driveway and breaks his arm.
B. The son, who is 13 years old, throws a rock at a
classmate who requires stitches for an injury to his
head.
C. A guest slips on an icy sidewalk in front of the fami-
ly's home and breaks his leg.
D. The daughter, who is 16 years old, sideswipes a
neighbor's car and dents its fender while driving her
own car.
, AINS 101 Exam Prep Complete Questions And Answers 2026
4. Which one of the following is a form of compensatory B. Special damages
damages?
Select one:
A. Real damages
B. Special damages
C. Punitive damages
D. Exemplary damages
5. Which one of the following is used by the majority of B. Tort liability system
states to compensate auto accident victims?
Select one:
A. Personal injury protection coverage
B. Tort liability system
C. Uninsured motorist coverage
D. Unsatisfied judgment funds
6. Which one of the following statements is true regard- C. State regulators require
ing automobile insurance rating? that rates be adequate,
Select one: reasonable, and not un-
A. State regulators require that all insurers offer dis- fairly discriminatory.
counts on auto rates for passive restraints.
B. Most insurers base automobile rates on primary
rating factors and do not consider any other factors in
establishing rates.
C. State regulators require that rates be adequate, rea-
sonable, and not unfairly discriminatory.
D. Drivers with lower-than-average loss exposure are
charged higher rates.
7. All of the following are true of the HO-3 Special Form, A. The HO-3 is designed
EXCEPT: for owners who occupy
Select one:
, A. The HO-3 is designed for owners who occupy their their dwelling or choose to
dwelling or choose to rent it. rent it.
B. The HO-3 meets the property and liability coverage
needs of most families.
C. The HO-3 is typically used as a basis for understand-
ing other HO coverage forms.
D. The HO-3 can be modified for special needs through
available endorsements.
8. Estelle and Richie are very conservative and want to C. HO-5 Comprehensive
purchase insurance to "cover everything" in order to Form
lessen the worries of home ownership. Which one of
the following ISO forms will provide them dwelling and
personal property insurance with the broadest possi-
ble coverage?
Select one:
A. HO-2 Broad Form
B. HO-3 Special Form
C. HO-5 Comprehensive Form
D. HO-8 Modified Form
9. The Agreement and Definitions page of the Personal C. A general agreement
Auto Policy (PAP) includes stating that the insurer
Select one: is providing the coverage
A. The name of the insurer issuing the policy. subject to payment of pre-
B. A general agreement stating the insurer's duty to mium and to the terms of
pay damages and defense costs subject to the terms the policy.
of the policy.
C. A general agreement stating that the insurer is pro-
viding the coverage subject to payment of premium
and to the terms of the policy.
D. The name and mailing address of the insured.
, 10. In the Personal Auto Policy (PAP) definitions, "Your D. A trailer rented by the
covered auto" includes all of the following classes of insured
vehicles, EXCEPT:
Select one:
A. A trailer owned by the insured
B. A temporary substitute auto or trailer
C. A newly acquired auto
D. A trailer rented by the insured
11. Brendan and Sue were on a road trip along the coast of A. Because the Part A
California, using Sue's car. One day they were stuck in insuring agreement ex-
terrible traffic while Brendan was driving. He became cludes intentional harm.
angry when another car merged in front of him. A
few minutes later, Brendan deliberately rammed into
the car that had cut in front of him, causing property
damage to the other car. Both Brendan and Sure were
surprised to learn that Sue's Personal Auto Policy (PAP)
would not cover the claim. Which one of the following
is the correct reason why Sue's PAP will not pay the
claim for property damage to the other car?
Select one:
A. Because the Part A insuring agreement excludes
intentional harm.
B. Because Sue's PAP only covers property damage to
her car.
C. Because Brendan, not Sue, was driving the car.
D. Because Brendan's PAP should cover the claim.
12. Miguel, an insured has a Personal Auto Policy (PAP) C. Would be eligible for
that includes medical payments coverage. The insured medical payments under
crashed his car while trying to be the first car to pull the Personal Auto Policy
away from a stop at a red light when the light turned (PAP) as the named in-
