AINS 102 EXAM QUESTIONS AND
THEIR REVIEWED ANSWERS
Joe keeps a tiger cub as a pet in his fenced-in
backyard. The tiger escapes and bites a neighbor's
child who requires stitches. Joe argues that keeping
the tiger violated no law and that he took every
precaution to restrain the tiger. Even if Joe is correct,
he might face a claim for damages based upon which
one of the following?
Absolute liability - Joe might face a claim for damages
based upon absolute liability, which does not require
that negligence be proven.
A claim for money damages because of injury to
another party or damage to another party's property
best describes
A liability loss - A liability loss is a claim for money
damages because of injury to another party or
damage to another party's property.
Which one of the following statements is true
regarding no-fault automobile insurance?
Most no-fault laws apply only to bodily injury and not to
property damage - No-fault laws generally apply only to
injuries and not to damage to property.
Sally has an unendorsed HO-3 policy. Sally's
swimming pool was drained by vandals who opened a
drain valve. The water was replaced at a cost of $2,500
to Sally, including labor to deliver and pump the water.
The HO-3 policy
, Does not cover the cost of the replaced water.
If a claim is paid under Coverage F—Medical
Payments to Others of a homeowners policy, a policy
condition makes it clear that
The payment is not an admission of liability by the insured
or the insurer - If a claim is paid under Coverage F—
Medical Payments to Others of a homeowners policy,
a policy condition makes it clear that a policy
condition makes it clear that the payment is not an
admission of liability by the insured or the insurer.
Inland marine floaters are flexible and can be used to
cover both common and unusual exposures. Inland
marine floaters provide the producer with the
opportunity to address and sell coverage for
Property not adequately covered by the homeowners
policy.
Jack and Linda are meeting with their insurance agent
to review their homeowners and auto policies. The
agent has suggested that they add an umbrella policy.
Which one of the following is the best reason the
agent will likely provide for purchasing this coverage?
To provide increased limits for large jury awards
The HO-5 policy is designed to meet the risk
management needs of
Owner-occupants of dwellings who would like the broadest
coverage available among ISO's forms for their property.
Coverage A—Dwelling of an HO-3 policy applies to
which one of the following?
Deck attached to the insured dwelling
Which one of the following is considered real
property?
THEIR REVIEWED ANSWERS
Joe keeps a tiger cub as a pet in his fenced-in
backyard. The tiger escapes and bites a neighbor's
child who requires stitches. Joe argues that keeping
the tiger violated no law and that he took every
precaution to restrain the tiger. Even if Joe is correct,
he might face a claim for damages based upon which
one of the following?
Absolute liability - Joe might face a claim for damages
based upon absolute liability, which does not require
that negligence be proven.
A claim for money damages because of injury to
another party or damage to another party's property
best describes
A liability loss - A liability loss is a claim for money
damages because of injury to another party or
damage to another party's property.
Which one of the following statements is true
regarding no-fault automobile insurance?
Most no-fault laws apply only to bodily injury and not to
property damage - No-fault laws generally apply only to
injuries and not to damage to property.
Sally has an unendorsed HO-3 policy. Sally's
swimming pool was drained by vandals who opened a
drain valve. The water was replaced at a cost of $2,500
to Sally, including labor to deliver and pump the water.
The HO-3 policy
, Does not cover the cost of the replaced water.
If a claim is paid under Coverage F—Medical
Payments to Others of a homeowners policy, a policy
condition makes it clear that
The payment is not an admission of liability by the insured
or the insurer - If a claim is paid under Coverage F—
Medical Payments to Others of a homeowners policy,
a policy condition makes it clear that a policy
condition makes it clear that the payment is not an
admission of liability by the insured or the insurer.
Inland marine floaters are flexible and can be used to
cover both common and unusual exposures. Inland
marine floaters provide the producer with the
opportunity to address and sell coverage for
Property not adequately covered by the homeowners
policy.
Jack and Linda are meeting with their insurance agent
to review their homeowners and auto policies. The
agent has suggested that they add an umbrella policy.
Which one of the following is the best reason the
agent will likely provide for purchasing this coverage?
To provide increased limits for large jury awards
The HO-5 policy is designed to meet the risk
management needs of
Owner-occupants of dwellings who would like the broadest
coverage available among ISO's forms for their property.
Coverage A—Dwelling of an HO-3 policy applies to
which one of the following?
Deck attached to the insured dwelling
Which one of the following is considered real
property?
