AIC 300 ACTUAL PAPER 2026 SOLUTIONS
GRADED A PLUS
◉ Actuary.
Answer: A person who uses mathematical methods to analyze
insurance data for various purposes, such as to develop insurance
rates or set claim reserves
◉ Algorithm.
Answer: An operational sequence used to solve mathematical
problems and to create computer programs
◉ Allegation.
Answer: A claim made in the complaint by the plaintiff, specifying
what the plaintiff expects to prove to obtain a judgement against the
defendant
◉ Average value method.
Answer: A case reserving method that establishes a predetermined
dollar amount of reserve for each claim as it is reported
◉ Big data.
,Answer: Sets of data that are too large to be gathered and analyzed
by traditional methods
◉ Blockchain.
Answer: A distributed digital ledger that facilitates secure
transactions without the need for a third party
◉ Claims representative.
Answer: A person responsible for investigating, evaluating, and
settling claims
◉ Classification tree.
Answer: A supervised learning technique that uses a structure
similar to a tree to segment data according to known attributes to
determine the value of a categorical target variable
◉ Coinsurance clause.
Answer: A clause that required the insured to carry insurance equal
to at least a specified percentage of the insured property's value
◉ Combination of nodes.
Answer: A representation of data attributes in a classification tree
,◉ Comparative negligence.
Answer: A common-law principle that requires both parties to a loss
to share the financial burden of the bodily injury or property
damage according to their respective degrees of fault
◉ Compensatory damages.
Answer: A payment awarded by a court to reimburse a victim for
actual harm
◉ Complaint.
Answer: The allegations made by a plaintiff in a lawsuit
◉ Complex claim.
Answer: A claim that contains one or more characteristics that cause
it to cost more than the average claim
◉ Concealment.
Answer: An intentional failure to disclose a material fact
◉ Contributory Negligence.
Answer: A common-law principle that prevents a person who has
been harmed from recovering damages if that person's own
negligence contributed in any way to the harm
, ◉ Cross Industry Standard Process for Data Mining (CRISP DM).
Answer: An accepted standard for the steps in any data mining
process used to provide business solutions
◉ Data mining.
Answer: The analysis of large amounts of data to find new
relationships and patterns that will assist in developing business
solutions
◉ Data science.
Answer: An interdisciplinary field involving the design and use of
techniques to process very large amounts of data from a variety of
sources and to provide knowledge based on the data
◉ Direct loss.
Answer: A reduction in the value of property that results directly
and often immediately from damage to that property
◉ Discovery.
Answer: A pretrial exchange of all relevant information between the
plaintiff and defendant
◉ Domain knowledge.
GRADED A PLUS
◉ Actuary.
Answer: A person who uses mathematical methods to analyze
insurance data for various purposes, such as to develop insurance
rates or set claim reserves
◉ Algorithm.
Answer: An operational sequence used to solve mathematical
problems and to create computer programs
◉ Allegation.
Answer: A claim made in the complaint by the plaintiff, specifying
what the plaintiff expects to prove to obtain a judgement against the
defendant
◉ Average value method.
Answer: A case reserving method that establishes a predetermined
dollar amount of reserve for each claim as it is reported
◉ Big data.
,Answer: Sets of data that are too large to be gathered and analyzed
by traditional methods
◉ Blockchain.
Answer: A distributed digital ledger that facilitates secure
transactions without the need for a third party
◉ Claims representative.
Answer: A person responsible for investigating, evaluating, and
settling claims
◉ Classification tree.
Answer: A supervised learning technique that uses a structure
similar to a tree to segment data according to known attributes to
determine the value of a categorical target variable
◉ Coinsurance clause.
Answer: A clause that required the insured to carry insurance equal
to at least a specified percentage of the insured property's value
◉ Combination of nodes.
Answer: A representation of data attributes in a classification tree
,◉ Comparative negligence.
Answer: A common-law principle that requires both parties to a loss
to share the financial burden of the bodily injury or property
damage according to their respective degrees of fault
◉ Compensatory damages.
Answer: A payment awarded by a court to reimburse a victim for
actual harm
◉ Complaint.
Answer: The allegations made by a plaintiff in a lawsuit
◉ Complex claim.
Answer: A claim that contains one or more characteristics that cause
it to cost more than the average claim
◉ Concealment.
Answer: An intentional failure to disclose a material fact
◉ Contributory Negligence.
Answer: A common-law principle that prevents a person who has
been harmed from recovering damages if that person's own
negligence contributed in any way to the harm
, ◉ Cross Industry Standard Process for Data Mining (CRISP DM).
Answer: An accepted standard for the steps in any data mining
process used to provide business solutions
◉ Data mining.
Answer: The analysis of large amounts of data to find new
relationships and patterns that will assist in developing business
solutions
◉ Data science.
Answer: An interdisciplinary field involving the design and use of
techniques to process very large amounts of data from a variety of
sources and to provide knowledge based on the data
◉ Direct loss.
Answer: A reduction in the value of property that results directly
and often immediately from damage to that property
◉ Discovery.
Answer: A pretrial exchange of all relevant information between the
plaintiff and defendant
◉ Domain knowledge.
