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Terms in this set (50)
Conor is handling an auto claim involving the death of a A calculated value of the child's future services to the parents.
minor child in a state that recognizes the intrinsic value of A calculated value of the child's future services to the parents. Intrinsic value of
children. Conor's proposed settlement amount will children is the assumption that parents invest in children knowing that they will
include provide for them when they are older
Cristobal has several methods available to him as he Formula method involves a mathematical formula set by actuaries to set reserves.
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?
Anna injured her back in a not-at-fault auto accident and Was covered because it was an unavoidable consequence of the back injury. An
has a bodily injury claim with the other driver's insurance intervening problem is covered if it is an unavoidable consequence of the first
company. Later, she fell and her back injury was injury.
aggravated. Her claims representative for the first
accident told her that the aggravation of her back injury
Some personal auto policies provide that someone could Implied permission.
reasonably expect to be allowed to use an insured's Some policies provide for implied permission for the use of an insured's auto.
vehicle even if they did not ask specifically, such as a
relative visiting from out of town. This is called
In determining coverage for emotional injury, a claims rep The term "harm" is potentially broader than the term "injury"
must understand applicable policy language. in determining coverage for emotional injury.
Which one of the following is correct?
, Mehmet was seriously injured in an automobile collision Pain and suffering can only be claimed if the decedent was conscious of the pain
and died after a stay in the hospital. His family is bringing and suffering before dying.
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?
Claims reps can isolate specific coverage issues that Decision tree.
should be investigated to determine whether exclusions Claims reps can isolate specific coverage issues that should be investigated to
apply by using a series of yes-or-no questions in the form determine whether exclusions apply by using a series of yes-or-no questions in
of a the form of a decision tree.
Caitlin was involved in a multi-car accident on a highway. The use of a hands-free device while driving can lead to a cognitive distraction.
The claims representative for her insurance company is
making a case that distracted driving by Mike, one of the
other drivers involved in the accident, was a contributing
cause of the accident. The records indicate that Mike was
using a hands-free device at the time of the accident.
Which one of the following statements is true regarding
the use of a hands-free device while driving?
Sean is an auto liability claims representative. He is All four elements of negligence exist in this accident. There was a duty owed to
working on a claim involving an insured driver who rear- others to operate the vehicle safely, that duty was breached, and was the
ended another vehicle while driving in heavy traffic. No proximate cause of the resulting $3,400 in damages. There is no clear evidence of
one was injured, but there was $3,400 in damage to the negligence per se provided.
other vehicle. Which one of the following statements is
correct regarding this accident?
Hilltop Auto Dealership (Hilltop) is insured by the Auto $80,000
Dealers Coverage Form (ADCF) with a $4 million limit for Hilltop's insurer will pay $80,000 for this covered loss. The policy limit was 80% ($4
physical damage coverage on a nonreporting basis. The million/$5 million) of the actual value at the time of the loss, so the insurer will
dealership experienced a fire loss that resulted in only pay 80% of the loss. $100,000 x .80 = $80,000
$100,000 in damage to the dealer's covered autos. The
actual value of the inventory of covered autos at the time
of the loss was $5 million. How much will Hilltop's ADCF
insurer pay for this covered loss? Disregard any
deductibles that may apply.
A technician repairing auto damage must replace a body Included operation.
panel as well as the running light/turn signal mounted An included operation is any operation completed in its entirety while another,
within the panel. The replacement of the light assembly is concurrent, operation is performed.
called a(n)
One of the primary questions that must be answered in Bodily injury.
investigating an emotional injury claim is whether, under
the applicable policy, emotional distress is considered
a(n)
2026(latest version verified for accuracy) (Questions +
Answers) Solved 100% Correct!!
Leave the first rating
Save
Students also studied
Insurance Licensing Exam - Part 5: B... AIC 302 SIMULATED EXAM Arizona Life Insurance Exam SSDA E
34 terms 50 terms Teacher 130 terms Teacher
jrenee25 Preview ashanks3 Preview remo_Collins Preview m85
Terms in this set (50)
Conor is handling an auto claim involving the death of a A calculated value of the child's future services to the parents.
minor child in a state that recognizes the intrinsic value of A calculated value of the child's future services to the parents. Intrinsic value of
children. Conor's proposed settlement amount will children is the assumption that parents invest in children knowing that they will
include provide for them when they are older
Cristobal has several methods available to him as he Formula method involves a mathematical formula set by actuaries to set reserves.
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?
Anna injured her back in a not-at-fault auto accident and Was covered because it was an unavoidable consequence of the back injury. An
has a bodily injury claim with the other driver's insurance intervening problem is covered if it is an unavoidable consequence of the first
company. Later, she fell and her back injury was injury.
aggravated. Her claims representative for the first
accident told her that the aggravation of her back injury
Some personal auto policies provide that someone could Implied permission.
reasonably expect to be allowed to use an insured's Some policies provide for implied permission for the use of an insured's auto.
vehicle even if they did not ask specifically, such as a
relative visiting from out of town. This is called
In determining coverage for emotional injury, a claims rep The term "harm" is potentially broader than the term "injury"
must understand applicable policy language. in determining coverage for emotional injury.
Which one of the following is correct?
, Mehmet was seriously injured in an automobile collision Pain and suffering can only be claimed if the decedent was conscious of the pain
and died after a stay in the hospital. His family is bringing and suffering before dying.
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?
Claims reps can isolate specific coverage issues that Decision tree.
should be investigated to determine whether exclusions Claims reps can isolate specific coverage issues that should be investigated to
apply by using a series of yes-or-no questions in the form determine whether exclusions apply by using a series of yes-or-no questions in
of a the form of a decision tree.
Caitlin was involved in a multi-car accident on a highway. The use of a hands-free device while driving can lead to a cognitive distraction.
The claims representative for her insurance company is
making a case that distracted driving by Mike, one of the
other drivers involved in the accident, was a contributing
cause of the accident. The records indicate that Mike was
using a hands-free device at the time of the accident.
Which one of the following statements is true regarding
the use of a hands-free device while driving?
Sean is an auto liability claims representative. He is All four elements of negligence exist in this accident. There was a duty owed to
working on a claim involving an insured driver who rear- others to operate the vehicle safely, that duty was breached, and was the
ended another vehicle while driving in heavy traffic. No proximate cause of the resulting $3,400 in damages. There is no clear evidence of
one was injured, but there was $3,400 in damage to the negligence per se provided.
other vehicle. Which one of the following statements is
correct regarding this accident?
Hilltop Auto Dealership (Hilltop) is insured by the Auto $80,000
Dealers Coverage Form (ADCF) with a $4 million limit for Hilltop's insurer will pay $80,000 for this covered loss. The policy limit was 80% ($4
physical damage coverage on a nonreporting basis. The million/$5 million) of the actual value at the time of the loss, so the insurer will
dealership experienced a fire loss that resulted in only pay 80% of the loss. $100,000 x .80 = $80,000
$100,000 in damage to the dealer's covered autos. The
actual value of the inventory of covered autos at the time
of the loss was $5 million. How much will Hilltop's ADCF
insurer pay for this covered loss? Disregard any
deductibles that may apply.
A technician repairing auto damage must replace a body Included operation.
panel as well as the running light/turn signal mounted An included operation is any operation completed in its entirety while another,
within the panel. The replacement of the light assembly is concurrent, operation is performed.
called a(n)
One of the primary questions that must be answered in Bodily injury.
investigating an emotional injury claim is whether, under
the applicable policy, emotional distress is considered
a(n)
