AINS 102 CH 6 QUESTIONS AND
CORRECT ANSWERS
Increasingly, insurers are able to assess drivers' skill and ability through
sw sw sw sw sw sw sw sw sw sw
Select one: sw
A. Telematics.
sw
B. Occupation.
sw
C. Area of operation.
sw sw sw
D. Restraints. - ans-A. Telematics.
sw sw sw sw
Because they interview the applicant first, see the property or operations to be insur
sw sw sw sw sw sw sw sw sw sw sw sw sw
ed, and evaluate the loss exposures, the most important primary source of informati
sw sw sw sw sw sw sw sw sw sw sw sw
on for the underwriters is the
sw sw sw sw sw
Select one: sw
A. Financial and credit-reporting service.
sw sw sw sw
B. Producers.
sw
C. Risk control representative.
sw sw sw
D. Property-valuation guide supplier. - ans-B. Producers.
sw sw sw sw sw sw
A customer service representative (CSR) receives a visit from Jack a customer who
sw sw sw sw sw sw sw sw sw sw sw sw sw
is purchasing a building with a restaurant on the ground floor and two second-
sw sw sw sw sw sw sw sw sw sw sw sw sw
floor apartments. Jack has never owned a commercial venture before and wants to
sw sw sw sw sw sw sw sw sw sw sw sw sw
arrange for insurance coverage before he closes the sale. Which one of the followin
sw sw sw sw sw sw sw sw sw sw sw sw sw
g would be the CSR's best approach to efficiently and competently help this custom
sw sw sw sw sw sw sw sw sw sw sw sw sw
er?
Select one: sw
A. Go to the property with the customer for a "walk through" and note any concerns
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
B. Refer the customer to an insurance agency that specializes in commercial propert
sw sw sw sw sw sw sw sw sw sw sw sw
y
C. Help the customer determine what property and liability exposures he will assume
sw sw sw sw sw sw sw sw sw sw sw sw
swin the purchase and refer him to a qualified producer
sw sw sw sw sw sw sw sw sw
D. Submit an application and photos of the property to an underwriter for a quote -
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
swans-
, C. Help the customer determine what property and liability exposures he will assume
sw sw sw sw sw sw sw sw sw sw sw sw
in the purchase and refer him to a qualified producer
sw sw sw sw sw sw sw sw sw sw
Which one of the following statements is correct with respect to an agency's or brok
sw sw sw sw sw sw sw sw sw sw sw sw sw sw
erage's cost of writing new business?
sw sw sw sw sw
Select one: sw
A. The cost of writing new business has no direct impact on an organization's botto
sw sw sw sw sw sw sw sw sw sw sw sw sw sw
m line.
sw
B. Acquisition costs in the insurance industry are low compared to other industries.
sw sw sw sw sw sw sw sw sw sw sw sw
C. There are no expenses involved in writing new business aside from the cost of e
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
mployees' time. sw
D. It is less cost-
sw sw sw sw
effective to write a new piece of business than to renew an existing policy. - ans-
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
D. It is less cost-
sw sw sw sw
effective to write a new piece of business than to renew an existing policy.
sw sw sw sw sw sw sw sw sw sw sw sw sw
William was conducting a training session for new claims representatives at Stanton
sw sw sw sw sw sw sw sw sw sw sw sw
Insurance. He reminded the claims representatives that in the aftermath of a loss, a
sw sw sw sw sw sw sw sw sw sw sw sw sw
n insured is often shaken, upset, or possibly injured. He told them that it is the clai
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ms representative's responsibility to help Stanton Insurance fulfill its contractual prom
sw sw sw sw sw sw sw sw sw sw
ise by handling claims in a way that promotes peace of mind for the insured and
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
Select one: sw
A. Minimizes complaints to the state insurance department.
sw sw sw sw sw sw sw
B. Improves the claimant's financial position.
sw sw sw sw sw
C. Maximizes profits for the insurer.
sw sw sw sw sw
D. Quickly restores claimants to their pre-loss condition. - ans-
sw sw sw sw sw sw sw sw sw
D. Quickly restores claimants to their pre-loss condition.
sw sw sw sw sw sw sw
Joey, while driving, was involved in a two-
sw sw sw sw sw sw sw
car accident. Joey sustained a severe injury from the accident. The other party, who
sw sw sw sw sw sw sw sw sw sw sw sw sw s
was at fault, did not maintain an auto insurance policy for the vehicle. Which one of
w sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
the following would provide coverage for Joey when the other driver does not have
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
an automobile liability policy?
sw sw sw
Select one: sw
A. Collision
sw
B. Underinsured motorist coverage (UIM)
sw sw sw sw
C. Personal injury protection (PIP)
sw sw sw sw
D. Uninsured motorist (UM) - ans-D. Uninsured motorist (UM)
sw sw sw sw sw sw sw sw
Applications and questionnaires for personal liability insurance should be carefully ev
sw sw sw sw sw sw sw sw sw sw
aluated to look for issues that can increase potential loss frequency and severity, su
sw sw sw sw sw sw sw sw sw sw sw sw sw
ch as sw
Select one: sw
A. Stairways in good repair and free of obstructions.
sw sw sw sw sw sw sw sw
B. The removal of dead trees and bicycles stored in a garage.
sw sw sw sw sw sw sw sw sw sw sw
C. Poor housekeeping and maintenance of premises or an unfenced pool.
sw sw sw sw sw sw sw sw sw sw
CORRECT ANSWERS
Increasingly, insurers are able to assess drivers' skill and ability through
sw sw sw sw sw sw sw sw sw sw
Select one: sw
A. Telematics.
sw
B. Occupation.
sw
C. Area of operation.
sw sw sw
D. Restraints. - ans-A. Telematics.
sw sw sw sw
Because they interview the applicant first, see the property or operations to be insur
sw sw sw sw sw sw sw sw sw sw sw sw sw
ed, and evaluate the loss exposures, the most important primary source of informati
sw sw sw sw sw sw sw sw sw sw sw sw
on for the underwriters is the
sw sw sw sw sw
Select one: sw
A. Financial and credit-reporting service.
sw sw sw sw
B. Producers.
sw
C. Risk control representative.
sw sw sw
D. Property-valuation guide supplier. - ans-B. Producers.
sw sw sw sw sw sw
A customer service representative (CSR) receives a visit from Jack a customer who
sw sw sw sw sw sw sw sw sw sw sw sw sw
is purchasing a building with a restaurant on the ground floor and two second-
sw sw sw sw sw sw sw sw sw sw sw sw sw
floor apartments. Jack has never owned a commercial venture before and wants to
sw sw sw sw sw sw sw sw sw sw sw sw sw
arrange for insurance coverage before he closes the sale. Which one of the followin
sw sw sw sw sw sw sw sw sw sw sw sw sw
g would be the CSR's best approach to efficiently and competently help this custom
sw sw sw sw sw sw sw sw sw sw sw sw sw
er?
Select one: sw
A. Go to the property with the customer for a "walk through" and note any concerns
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
B. Refer the customer to an insurance agency that specializes in commercial propert
sw sw sw sw sw sw sw sw sw sw sw sw
y
C. Help the customer determine what property and liability exposures he will assume
sw sw sw sw sw sw sw sw sw sw sw sw
swin the purchase and refer him to a qualified producer
sw sw sw sw sw sw sw sw sw
D. Submit an application and photos of the property to an underwriter for a quote -
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
swans-
, C. Help the customer determine what property and liability exposures he will assume
sw sw sw sw sw sw sw sw sw sw sw sw
in the purchase and refer him to a qualified producer
sw sw sw sw sw sw sw sw sw sw
Which one of the following statements is correct with respect to an agency's or brok
sw sw sw sw sw sw sw sw sw sw sw sw sw sw
erage's cost of writing new business?
sw sw sw sw sw
Select one: sw
A. The cost of writing new business has no direct impact on an organization's botto
sw sw sw sw sw sw sw sw sw sw sw sw sw sw
m line.
sw
B. Acquisition costs in the insurance industry are low compared to other industries.
sw sw sw sw sw sw sw sw sw sw sw sw
C. There are no expenses involved in writing new business aside from the cost of e
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
mployees' time. sw
D. It is less cost-
sw sw sw sw
effective to write a new piece of business than to renew an existing policy. - ans-
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
D. It is less cost-
sw sw sw sw
effective to write a new piece of business than to renew an existing policy.
sw sw sw sw sw sw sw sw sw sw sw sw sw
William was conducting a training session for new claims representatives at Stanton
sw sw sw sw sw sw sw sw sw sw sw sw
Insurance. He reminded the claims representatives that in the aftermath of a loss, a
sw sw sw sw sw sw sw sw sw sw sw sw sw
n insured is often shaken, upset, or possibly injured. He told them that it is the clai
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ms representative's responsibility to help Stanton Insurance fulfill its contractual prom
sw sw sw sw sw sw sw sw sw sw
ise by handling claims in a way that promotes peace of mind for the insured and
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
Select one: sw
A. Minimizes complaints to the state insurance department.
sw sw sw sw sw sw sw
B. Improves the claimant's financial position.
sw sw sw sw sw
C. Maximizes profits for the insurer.
sw sw sw sw sw
D. Quickly restores claimants to their pre-loss condition. - ans-
sw sw sw sw sw sw sw sw sw
D. Quickly restores claimants to their pre-loss condition.
sw sw sw sw sw sw sw
Joey, while driving, was involved in a two-
sw sw sw sw sw sw sw
car accident. Joey sustained a severe injury from the accident. The other party, who
sw sw sw sw sw sw sw sw sw sw sw sw sw s
was at fault, did not maintain an auto insurance policy for the vehicle. Which one of
w sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
the following would provide coverage for Joey when the other driver does not have
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
an automobile liability policy?
sw sw sw
Select one: sw
A. Collision
sw
B. Underinsured motorist coverage (UIM)
sw sw sw sw
C. Personal injury protection (PIP)
sw sw sw sw
D. Uninsured motorist (UM) - ans-D. Uninsured motorist (UM)
sw sw sw sw sw sw sw sw
Applications and questionnaires for personal liability insurance should be carefully ev
sw sw sw sw sw sw sw sw sw sw
aluated to look for issues that can increase potential loss frequency and severity, su
sw sw sw sw sw sw sw sw sw sw sw sw sw
ch as sw
Select one: sw
A. Stairways in good repair and free of obstructions.
sw sw sw sw sw sw sw sw
B. The removal of dead trees and bicycles stored in a garage.
sw sw sw sw sw sw sw sw sw sw sw
C. Poor housekeeping and maintenance of premises or an unfenced pool.
sw sw sw sw sw sw sw sw sw sw
