AIC 302 SIMULATED EXAM fully solved &
updated 2025-2026 Questions with Verified
Correct Answers
Conor is handling an auto claim involving the death of a minor child in a state that
recognizes the intrinsic value of children. Conor's proposed settlement amount will
include
A calculated value of the child's future services to the parents.
A calculated value of the child's future services to the parents. Intrinsic value of children is
the assumption that parents invest in children knowing that they will provide for them when
they are older
Cristobal has several methods available to him as he evaluates the settlement range for
his claim:
individual case method, roundtable technique, formula method, and expert system.
Which method should Cristobal use if he is dealing with a minor soft tissue claim and
wants a simple approach to achieve an early, mutually agreeable settlement?
Formula method involves a mathematical formula set by actuaries to set reserves.
Anna injured her back in a not-at-fault auto accident and has a bodily injury claim with
the other driver's insurance company. Later, she fell and her back injury was
aggravated. Her claims representative for the first accident told her that the
aggravation of her back injury
Was covered because it was an unavoidable consequence of the back injury. An intervening
problem is covered if it is an unavoidable consequence of the first injury.
, Some personal auto policies provide that someone could reasonably expect to be allowed
to use an insured's vehicle even if they did not ask specifically, such as a relative visiting
from out of town. This is called
Implied permission.
Some policies provide for implied permission for the use of an insured's auto.
In determining coverage for emotional injury, a claims rep must understand applicable
policy language.
Which one of the following is correct?
The term "harm" is potentially broader than the term "injury"
in determining coverage for emotional injury.
Mehmet was seriously injured in an automobile collision and died after a stay in the
hospital. His family is bringing a survival action claim for medical expenses, pain and
suffering, loss of earnings, and automobile repairs. Which one of the following claims
will be allowed only if the family can demonstrate that Mehmet was conscious after the
accident but before dying?
Pain and suffering can only be claimed if the decedent was conscious of the pain and
suffering before dying.
Claims reps can isolate specific coverage issues that should be investigated to determine
whether exclusions apply by using a series of yes-or-no questions in the form of a
Decision tree.
Claims reps can isolate specific coverage issues that should be investigated to determine
whether exclusions apply by using a series of yes-or-no questions in the form of a decision
tree.
updated 2025-2026 Questions with Verified
Correct Answers
Conor is handling an auto claim involving the death of a minor child in a state that
recognizes the intrinsic value of children. Conor's proposed settlement amount will
include
A calculated value of the child's future services to the parents.
A calculated value of the child's future services to the parents. Intrinsic value of children is
the assumption that parents invest in children knowing that they will provide for them when
they are older
Cristobal has several methods available to him as he evaluates the settlement range for
his claim:
individual case method, roundtable technique, formula method, and expert system.
Which method should Cristobal use if he is dealing with a minor soft tissue claim and
wants a simple approach to achieve an early, mutually agreeable settlement?
Formula method involves a mathematical formula set by actuaries to set reserves.
Anna injured her back in a not-at-fault auto accident and has a bodily injury claim with
the other driver's insurance company. Later, she fell and her back injury was
aggravated. Her claims representative for the first accident told her that the
aggravation of her back injury
Was covered because it was an unavoidable consequence of the back injury. An intervening
problem is covered if it is an unavoidable consequence of the first injury.
, Some personal auto policies provide that someone could reasonably expect to be allowed
to use an insured's vehicle even if they did not ask specifically, such as a relative visiting
from out of town. This is called
Implied permission.
Some policies provide for implied permission for the use of an insured's auto.
In determining coverage for emotional injury, a claims rep must understand applicable
policy language.
Which one of the following is correct?
The term "harm" is potentially broader than the term "injury"
in determining coverage for emotional injury.
Mehmet was seriously injured in an automobile collision and died after a stay in the
hospital. His family is bringing a survival action claim for medical expenses, pain and
suffering, loss of earnings, and automobile repairs. Which one of the following claims
will be allowed only if the family can demonstrate that Mehmet was conscious after the
accident but before dying?
Pain and suffering can only be claimed if the decedent was conscious of the pain and
suffering before dying.
Claims reps can isolate specific coverage issues that should be investigated to determine
whether exclusions apply by using a series of yes-or-no questions in the form of a
Decision tree.
Claims reps can isolate specific coverage issues that should be investigated to determine
whether exclusions apply by using a series of yes-or-no questions in the form of a decision
tree.
