AINS 102: Understanding Personal Insurance With Complete Solutions
AINS 102: Understanding Personal Insurance
With Complete Solutions
Arbitration - ✔✔✔ - An alternative dispute resolution (ADR) method by which disputing parties use a
neutral outside party to examine the issues and develop a settlement, which can be final and binding.
Attachment - ✔✔✔ - The act of seizing property to secure a judgment.
Catastrophe - ✔✔✔ - A single event that causes widespread losses.
Civil law - ✔✔✔ - A classification of law that applies to legal matters not governed by criminal law and
that protects rights and provides remedies for breaches of duties owed to others.
Compensatory damages - ✔✔✔ - A payment awarded by a court to reimburse a victim for actual harm.
Compulsory auto insurance law - ✔✔✔ - Law that requires the owners or operators of automobiles to
carry automobile liability insurance at least equal to certain minimum limits before the vehicle can be
licensed or registered.
Criminal law - ✔✔✔ - The branch of the law that imposes penalties for wrongs against society.
Cross-selling - ✔✔✔ - Selling new types of insurance products to existing clients.
Damages - ✔✔✔ - Money claimed by, or a monetary award to, a party who has suffered loss or injury
for which another party is legally responsible.
Deductible - ✔✔✔ - A portion of a covered loss that is not paid by the insurer.
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, AINS 102: Understanding Personal Insurance With Complete Solutions
Financial responsibility laws - ✔✔✔ - Law enacted to ensure that motorists have the financial ability to
pay for any property damage or bodily injury they might cause as a result of driving or owning an auto.
First party - ✔✔✔ - The insured in an insurance contract.
Floater - ✔✔✔ - A policy designed to cover property that floats, or moves, from location to location.
Flood Insurance Rate Map (FIRM) - ✔✔✔ - A map that shows exact boundaries for special flood hazard
areas, the various flood zones, and base flood elevations.
General damages - ✔✔✔ - A monetary award to compensate a victim for losses, such as pain and
suffering, that do not involve specific, measurable expenses.
HO-3 Special Form - ✔✔✔ - Coverage for owner-occupants, providing open perils coverage on
buildings and specified perils coverage on personal property.
Hull insurance - ✔✔✔ - Insurance that covers physical damage to vessels, including their machinery
and fuel but not their cargo.
Inland marine floater - ✔✔✔ - Coverage for property limited or excluded by homeowners policies,
property with valuation problems, high-value items, and property susceptible to loss by other than the
usual named perils.
Inland marine insurance - ✔✔✔ - Insurance that covers many different classes of property that
typically involve an element of transportation on land.
Intentional tort - ✔✔✔ - A tort committed by a person who foresees (or should be able to foresee) that
his or her act will harm another person.
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AINS 102: Understanding Personal Insurance
With Complete Solutions
Arbitration - ✔✔✔ - An alternative dispute resolution (ADR) method by which disputing parties use a
neutral outside party to examine the issues and develop a settlement, which can be final and binding.
Attachment - ✔✔✔ - The act of seizing property to secure a judgment.
Catastrophe - ✔✔✔ - A single event that causes widespread losses.
Civil law - ✔✔✔ - A classification of law that applies to legal matters not governed by criminal law and
that protects rights and provides remedies for breaches of duties owed to others.
Compensatory damages - ✔✔✔ - A payment awarded by a court to reimburse a victim for actual harm.
Compulsory auto insurance law - ✔✔✔ - Law that requires the owners or operators of automobiles to
carry automobile liability insurance at least equal to certain minimum limits before the vehicle can be
licensed or registered.
Criminal law - ✔✔✔ - The branch of the law that imposes penalties for wrongs against society.
Cross-selling - ✔✔✔ - Selling new types of insurance products to existing clients.
Damages - ✔✔✔ - Money claimed by, or a monetary award to, a party who has suffered loss or injury
for which another party is legally responsible.
Deductible - ✔✔✔ - A portion of a covered loss that is not paid by the insurer.
©®™ Page 1
, AINS 102: Understanding Personal Insurance With Complete Solutions
Financial responsibility laws - ✔✔✔ - Law enacted to ensure that motorists have the financial ability to
pay for any property damage or bodily injury they might cause as a result of driving or owning an auto.
First party - ✔✔✔ - The insured in an insurance contract.
Floater - ✔✔✔ - A policy designed to cover property that floats, or moves, from location to location.
Flood Insurance Rate Map (FIRM) - ✔✔✔ - A map that shows exact boundaries for special flood hazard
areas, the various flood zones, and base flood elevations.
General damages - ✔✔✔ - A monetary award to compensate a victim for losses, such as pain and
suffering, that do not involve specific, measurable expenses.
HO-3 Special Form - ✔✔✔ - Coverage for owner-occupants, providing open perils coverage on
buildings and specified perils coverage on personal property.
Hull insurance - ✔✔✔ - Insurance that covers physical damage to vessels, including their machinery
and fuel but not their cargo.
Inland marine floater - ✔✔✔ - Coverage for property limited or excluded by homeowners policies,
property with valuation problems, high-value items, and property susceptible to loss by other than the
usual named perils.
Inland marine insurance - ✔✔✔ - Insurance that covers many different classes of property that
typically involve an element of transportation on land.
Intentional tort - ✔✔✔ - A tort committed by a person who foresees (or should be able to foresee) that
his or her act will harm another person.
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