AINS 101 SIMULATED ACTUAL TEST PAPER
2026 FULL QUESTIONS AND CORRECT
ANSWERS GRADED A+
●● Insurance shortages.
Answer: Destructive competition in the insurance industry could result
in
●● Veronica directly contacts Maria for guidance on how to report a
stolen car, Maria provides that, and claims rep Sean takes over after an
introduction from Maria.
Answer: Maria is a new producer who wears many hats when forming
relationships and then serving her established customers. In this
capacity, which one of the following scenarios most accurately describes
her ongoing work wearing the hat of "claims handler"?
●● $350 Replacement cost - Depreciation.
Answer: John's two-year-old bicycle was stolen. The bicycle's purchase
price was $700, its current replacement cost is $800, and depreciation
was estimated at $450. What was the bicycle's actual cash value?
●● Underwriting authority reports.
Answer: All of the following are sources of underwriting information to
evaluate an insurance submission, EXCEPT:
, ●● Implemented risk management techniques may prove to be
ineffective or become obsolete.
Answer: Which one of the following best explains why producers should
be alert to changes in clients' loss exposures?
●● Field Underwriter.
Answer: James works very closely with producers on a daily basis. In
addition to evaluating the applicants that the producers submit, James is
involved in presenting policy quotations, processing policy
endorsements, helping to explain coverages, and making coverage
recommendations. James works as a
●● Balance sheet.
Answer: Rachel is considering investing in the stock of an insurance
company. Which one of the following is likely to provide the best
indication of the insurer's financial position at this point in time?
●● Support producers and insureds.
Answer: At Greenfield Insurance Company, Bernadette and Rachel are
corporate underwriters, and Tomas and Jose are field underwriters. All of
the following are underwriting activities typically performed by
corporate (or staff) underwriters like Bernadette and Rachel, EXCEPT:
●● Large number of similar exposure units.
2026 FULL QUESTIONS AND CORRECT
ANSWERS GRADED A+
●● Insurance shortages.
Answer: Destructive competition in the insurance industry could result
in
●● Veronica directly contacts Maria for guidance on how to report a
stolen car, Maria provides that, and claims rep Sean takes over after an
introduction from Maria.
Answer: Maria is a new producer who wears many hats when forming
relationships and then serving her established customers. In this
capacity, which one of the following scenarios most accurately describes
her ongoing work wearing the hat of "claims handler"?
●● $350 Replacement cost - Depreciation.
Answer: John's two-year-old bicycle was stolen. The bicycle's purchase
price was $700, its current replacement cost is $800, and depreciation
was estimated at $450. What was the bicycle's actual cash value?
●● Underwriting authority reports.
Answer: All of the following are sources of underwriting information to
evaluate an insurance submission, EXCEPT:
, ●● Implemented risk management techniques may prove to be
ineffective or become obsolete.
Answer: Which one of the following best explains why producers should
be alert to changes in clients' loss exposures?
●● Field Underwriter.
Answer: James works very closely with producers on a daily basis. In
addition to evaluating the applicants that the producers submit, James is
involved in presenting policy quotations, processing policy
endorsements, helping to explain coverages, and making coverage
recommendations. James works as a
●● Balance sheet.
Answer: Rachel is considering investing in the stock of an insurance
company. Which one of the following is likely to provide the best
indication of the insurer's financial position at this point in time?
●● Support producers and insureds.
Answer: At Greenfield Insurance Company, Bernadette and Rachel are
corporate underwriters, and Tomas and Jose are field underwriters. All of
the following are underwriting activities typically performed by
corporate (or staff) underwriters like Bernadette and Rachel, EXCEPT:
●● Large number of similar exposure units.
