Exam (elaborations)
Cpcu 500 Chapter 1 Questions And Answers With Verified Solutions Already Passed!!!
- Course
- Institution
Cpcu 500 Chapter 1 Questions And Answers With Verified Solutions Already Passed!!!
[Show more]
Content preview
Cpcu 500 Chapter 1 Questions AndAnswers With Verified Solutions Already
Passed!!!
The rise of big data and predictive analytics will
Select one:
A. Reduce the frequency of losses but not the severity of losses.
B. Eliminate the frequency and severity of losses.
C. Increase the frequency and severity of losses.
D. Reduce the frequency and severity of losses, but won't eliminate them. -
ANSWER✔✔ D. Reduce the frequency and severity of losses, but won't eliminate
them.
Which one of the following best illustrates the benefit of insurance in driving
economic growth?
Select one:
A. Protecting drivers from large lawsuits if they injure someone while driving.
B. Transforming what would otherwise be dire circumstances into manageable
scenarios.
C. Providing a guarantee to mortgage lenders against loss of a home by fire.
D. Making loans of funds collected in premiums before losses are paid. -
ANSWER✔✔ D. Making loans of funds collected in premiums before losses are
paid.
Insurers' response to the liability crisis of a rapid increase in tort litigation and
class-action lawsuits evolved in which one of the following ways?
Select one:
, A. Collaborating with the federal government to share costs of rising claims.
B. Enhancing fraud detection through data analysis.
C. Raising public awareness of the effect on policyholders.
D. Changing liability coverage to a claims-made basis. - ANSWER✔✔ D. Changing
liability coverage to a claims-made basis.
Which one of the following is an example of a negative perception of insurance
that is not based on reality?
Select one:
A. Insurance did not cover COVID-19 losses because they did not involve property
damage.
B. After taxes and fees, insurers are left with about 1 cent of profit for every dollar
received.
C. Insurance is an expensive product that's rarely used and doesn't provide a
value commensurate to its cost.
D. Insurance is a means of protection, not an investment. - ANSWER✔✔ C.
Insurance is an expensive product that's rarely used and doesn't provide a value
commensurate to its cost.
Which one of the following has been an insurance industry response to the
Coronavirus pandemic
Select one:
A. Issue auto premium rebates to insureds.
B. Widespread approval of business interruption claims.
C. Exclude "black swan" events from coverage.
D. Revise homeowners insurance to include ride-share coverage. - ANSWER✔✔ A.
Issue auto premium rebates to insureds.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller classhub. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $11.49. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
83100 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now