AIC 30 CERTIFICATION EXAM LATEST 2024 QUESTIONS WITH 100% SOLVED SOLUTIONS!!!

AIC 30 CERTIFICATION EXAM LATEST 2024 QUESTIONS WITH 100% SOLVED SOLUTIONS!!! IBNR - Incurred But Not Reported - Answer-claims in which the loss has happened but they have not as yet been reported. Loss Ratio Method - Answer-to set a reserve for losses that have been incurred but not reported, the insurer establishes a reserve based on the anticipated losses over a period of time for a certain type of insurance Spoliation of evidence - Answer-a violation of the duty to preserve evidence, for possible pending future litigation. the loss or destruction has to be the fault of the accused party. Jurors will be instructed to view the "missing" evidence in the worst possible light. Spoliation defenses - Answer-was not relevant to the case, can be reconstructed, a reasonable opportunity to examine the evidence was made before it was destroyed. Direct Question - Answer-answered by yes or no Open Ended Question - Answer-requires elaboration/opinion/explanation ads to the circumstances under consideration Narrative Statement - Answer-the person provides the information similar to telling a story. Leading Questions - Answer-questions that direct a person to an answer (you were not speeding, were you?) Loaded Questions - Answer-designed in intimidate/entrap the person. (you had a car stolen this time last year didn't you) Sworn Statement - Answer-a statement in which the person has attested that the information is true EUO - Examination Under Oath - Answer-a statement in which the person has sworn to tell the truth in the presence of an officer of the court Deposition - Answer-a pretrial discovery tool involving the oral examination of a witness, to produce a written verbatim record, usually with attorneys and a court reporter present ISO - Answer-Insurance Services Organization NCCI - Answer-National Council on Compensation Insurance. Workers Comp insurance information NMVTIS - Answer-National Motor Vehicle Title Information System. To prevent the reintroduction of stolen vehicles to the market NICB - Answer-National Insurance Crime Bureau. A non-profit organization to prevent, detect and defeat insurance fraud Loss History - Answer-a list of all the past claims for an individual or organization. Includes amounts paid, amounts reserved and current claim status. Loss Reserve - Answer-an estimate of the amount of money the insurer expects to pay out on the claim. (includes IBNR claims) Loss Ratio - Answer-Losses and loss adjustment expenses against the earned premiums. this reflects the amount of premium that has not been consumed by loss Expense Ratio - Answer-the amount of operational expenses against the written premium. Shows how much of the premium for the year, is being consumed by cost of doing business Combined Ratio - Answer-by adding together the loss ratio and the expense ratio, you have a combined ratio. The combined ratio indicates if you have an underwriting gain or loss. Was the premium charged enough to cover the losses and expenses incurred by the company Sender - Answer-the person that is sending the message / initiating the communication process Receiver - Answer-the person that gets the message and interprets it. Verbal or non-verbal intentional or unintentional. Initial Credibility - Answer-the degree to which the person is believed before the conversation begins Derived Credibility - Answer-the perceived believability of the person during the conversation. Terminal Credibility - Answer-how believable were they after the end of the conversation Message - Answer-the words a sender uses in the communication process Encoding - Answer-the process of translating the message once sent Medium - Answer-the means a message was transmitted. written, oral, non-verbal, intentional, and unintentional Decoding - Answer-the interpretation of the message by the receiver Active Listening - Answer-listening with openness, both physical and mental, to determine the meaning. Non Verbal Communication - Answer-communication that is not written or oral..includes posture, eye movements, facial expressions, smells, and appearance Insurance Fraud - Answer-Any deliberate act of deception committed against an insurance producer or insurer for the purpose of unwarranted financial gain Motives for Insurance Fraud - Answer-financial gain, profit or savings. sense of entitlement. participation in organized crime Material Fact in Insurance - Answer-a fact that would have affected the insurer's decision to provide coverage or coverage at the cost of the premium, maintain a policy, or to pay a claim Staged Accident - Answer-and accident deliberately caused by a person who intends to fake injury and collect Hard Fraud (Moral Hazard) - Answer-Action undertaken to deliberately defraud. Soft Fraud (Morale Hazard) - Answer-fraud that occurs when a legitimate claim is exaggerated. Misrepresentation - Answer-a false statement of a material fact, knowingly made, with the intent to decieve Concealment - Answer-an intentional failure not to disclose a material fact Pre Inspection Laws - Answer-Vehicles (and homes in many cases) must be physically inspected for prior damage to insurance policies being issued Mandatory reporting - Answer-states require insurance companies to report claims that raise suspicions Immunity Laws - Answer-Designed to protect insurers, and claims representatives for reporting possible insurance fraud if the report is made without malice, fraud or criminal misconduct Civil and Criminal Penalties - Answer-Makes insurance fraud a crime Motor Vehicle Theft Law Enforcement Act of 1984 - Answer-Required VIN numbers on all vehicles for theft reporting and identification of stolen vehicles Anti Car Theft Act of 1992 - Answer-Dealing with stolen car parts and stolen vehicles is now a federal crime US Mail Fraud Statute - Answer-using the mail to commit insurance fraud is a federal crime False Representation Statute - Answer-Allows the post office to hold the mall anyone found by the postal inspectors to be committing fraud. CAIF - Coalition Against Insurance Fraud - Answer-a diverse group of commissioners, insurers, legislators, and regulators banding together to detect, prosecute and deter insurance fraud Win - Lose - Answer-we win, they lose. They committed fraud, they got caught Win - Win - Answer-Both sides of the negotiation walk away happy Lose - Win - Answer-We were at fault, we know we will pay the claim, but to earn a little good will we make an advanced payment for bills presented to make the injured parties life a little easier Lose - Lose - Answer-an agreement cant be reached, it goes into litigation. Neither party is concerned about a "good" outcome, it is an adversarial postion The 4 Steps of Negotiation - Answer-1. Prepare 2. Develop and evaluate alternative outcomes 3. identify and evaluate each parties interests 4. Make concessions to achieve an appropriate resolution.