LOMA 280 ACTUAL EXAM PAPER 2026
COMPLETE QUESTIONS AND ANSWERS
GRADED A+
◉ speculative risk
Answer: Three possible outcomes: loss, gain or no change.
◉ pure risk
Answer: No possibilty of gain; either loss or no loss
◉ risk management
Answer: Process by which individuals and businesses identify and
assess the risks they face and take measures to eliminate or reduce
their exposure to those risks.
◉ insurer
Answer: A company that accepts the risk and makes a promise to
pay a policy benefit if a loss does occur.
◉ policy benefit
, Answer: A specific amount of money an insurer agrees to pay under
an insurance policy when a specific loss occurs.
◉ insurance policy
Answer: A written document that contains the terms of the
agreement between the insurer and the owner of the policy. Also
known as an insurance contract.
◉ premium
Answer: A specified amount of money an insurer charges in
exchange for agreeing to pay a policy benefit when a specified loss
occurs.
◉ personal risk
Answer: The risk of economic loss associated with death, poor
health, injury, and outliving one's economic resources.
◉ life and health insurance company
Answer: A company that issues and sells products that insure
against finanacial losses that result from personal risks such as
death, disability, illness, accident, and outliving one's savings.
◉ life insurance
COMPLETE QUESTIONS AND ANSWERS
GRADED A+
◉ speculative risk
Answer: Three possible outcomes: loss, gain or no change.
◉ pure risk
Answer: No possibilty of gain; either loss or no loss
◉ risk management
Answer: Process by which individuals and businesses identify and
assess the risks they face and take measures to eliminate or reduce
their exposure to those risks.
◉ insurer
Answer: A company that accepts the risk and makes a promise to
pay a policy benefit if a loss does occur.
◉ policy benefit
, Answer: A specific amount of money an insurer agrees to pay under
an insurance policy when a specific loss occurs.
◉ insurance policy
Answer: A written document that contains the terms of the
agreement between the insurer and the owner of the policy. Also
known as an insurance contract.
◉ premium
Answer: A specified amount of money an insurer charges in
exchange for agreeing to pay a policy benefit when a specified loss
occurs.
◉ personal risk
Answer: The risk of economic loss associated with death, poor
health, injury, and outliving one's economic resources.
◉ life and health insurance company
Answer: A company that issues and sells products that insure
against finanacial losses that result from personal risks such as
death, disability, illness, accident, and outliving one's savings.
◉ life insurance
