CPCU 500 Exam Questions- Managing Evolving Risks
Latest 2023-2024 /269 Questions And Answers Graded
(A+)
Quiz :Which one of the following statements about the use of drones is true? -
Answer :Drones may be equipped with cameras that relay data in real-time
Quiz :Which one of the following uses infrared light to detect nearby objects?
- Answer :Lidar
Quiz :AMRM Insurance Company sells insurance in Virginia, North Carolina,
South Carolina, and Georgia. The company has compiled a policyowner data
base that can be used to send text messages when hurricanes approach. The
company provides early warnings, storm updates from the National Weather
Service, and hurricane safety measures. The company credits the system with
reduced hurricane claims. The use of the texting system is an example of -
Answer :Preventive analytics
Quiz :Clear-Rite Company specializes in the clean-up of hazardous chemical
spills. Workers performing clean-up operations must use safety suits to
prevent exposure to the chemicals. The suits include pulse and respiration
monitors, body temperature sensors, and chemical sensors. The monitors and
sensors report data to a mobile operations center which is deployed to each
clean-up site. The pulse and respiration monitors and the sensors that are part
of the protective gear are called - Answer :Wearable technologies
Quiz :The traditional definition of risk management reflects the traditional
concept of risk as - Answer :Negative
Quiz :WOTF is true regarding the evolution of risk and risk management? -
Answer :The definition of risk has evolved to included +/- attributes
Quiz :Many auto manufacturers have automated a portion of their assembly
lines by introducing a smart product. The smart product performs repetitive
tasks, such as making the same weld on each vehicle frame as it passes the
smart product. These smart products, which can be fixed or mobile, reduce
repetitive motion injuries that humans might suffer. They can also be used to
perform dangerous tasks and in heavy-lifting jobs. These smart products are
called - Answer :Robots
, Quiz :Which one of the following is described as a distributed database that
serves as a collectively shared ledger? - Answer :Blockchain
Quiz :Autonomous Vehicle Applications (AVA) is a start-up company that
develops safety technologies that can be sold to companies that are producing
autonomous vehicles. One technology AVA is developing allows an
autonomous vehicle to detect, extract, and analyze images; and then to
respond to the images. For example, the technology would detect a presence
in a crosswalk, extract the image, and a computer would analyze the image.
When the image was determined to be a human being, the vehicle would slo -
Answer :Computer vision
Quiz :Catastrophes such as recent earthquakes and the 2011 tsunami in Japan
pointed out a need for many organizations to evaluate and manage their -
Answer :Supply-chain risk
Quiz :Which one of the following best explains how most smart products
potentially improve risk management? - Answer :They generate big data to
which advanced analytics can be applied
Quiz :Take Your Order (TYO) is a company that specializes in taking product
orders for vendors. The manufacturer of a product can run a television or
internet ad for a product with a toll-free number. Customer calls for the
products are routed to TYO, where one hundred operators are available to
receive the calls. Each operator is assigned a cubicle with a computer terminal,
video display monitor, and a telephone. TYO experienced high workers
compensation claims from its operators, claiming neck strai -
Answer :Ergonomics
Quiz :Don is the Risk Manager for Rafferty Corporation. One of his peers,
Sally, asks him one day, "How do you define risk?" When Don replies, which
one of the following statements is accurate? - Answer :Risk has different
meanings within the risk management and insurance communities.
Quiz :In an effort to reduce expenses, increase profitability, and reduce
human errors; ABC Insurance Company decided to automate most of its
personal lines underwriting function. The company now uses standardized
application forms that are submitted electronically to one of the company's
regional offices. At each regional office, a computer with a scanner reads the
applications. The computer has been programmed with acceptable answers to
,the questions. If the answers on the application are all accept -
Answer :Artificial intelligence
Quiz :A municipal water plant installed water flow sensors and water pressure
sensors on the water pipes leaving the plant. The sensors make sure water is
flowing properly and that there are no leaks or clogs which could produce a
loss. These types of sensors are - Answer :Mechanical sensors
Quiz :Which one of the following is a tool that can be used by fraud
investigators to compare documents and analyze notes? - Answer :Text mining
Quiz :Last year, three Metro City firemen died responding to a fire at a
chemical plant, when they were overcome by toxic fumes. In response, Metro
City is purchasing advanced first responder gear. It includes special flame
retardant suits with chemical and explosive fume sensors, air quality sensors,
and heat sensors. Responders will also wear special watches that will track a
responder's pulse, respiration, and blood pressure; and helmets that include
video cameras. All of these sensors will feed da - Answer :Smart products
Quiz :Precision Electronic Components manufactures circuit boards,
microchips, and other electronic products. Given the precision necessary for
their products, the manufacturing environment must be controlled.
Temperature, humidity, static electricity and other factors must be monitored.
After losing several batches of products due to human monitoring failures and
imprecise adjustments, the company moved to a system of sensors. The
sensors monitor and regulate temperature, humidity, static electricity -
Answer :The Internet of Things
Quiz :Mutual Fund Company (MFC) offers a wide array of mutual fund options
to investors. Each mutual fund has a different fund objective and set of
investment guidelines that apply to the fund. While MFC gives considerable
freedom to its fund portfolio managers, they are required to abide by the
fund's investment guidelines. To monitor compliance, MFC developed a
computer algorithm. The computer algorithm continuously monitors each
fund's compliance with investment guidelines. If a fund manager violat -
Answer :Artificial intelligence
Quiz :Data Entry Company (DEC) offers customers data entry services. A
customer can hire DEC to enter survey data to be analyzed. Many DEC
employees spend long hours entering data on a computer. DEC has
, experienced neck strain and wrist pain complaints from their employees,
increasing the company's workers compensation costs. DEC investigated the
complaints of its data-entry employees. DEC adopted curved keyboards for
data entry, wrist-rests for those entering data, and uniform chair heights and
displ - Answer :Ergonomics
Quiz :WOTF is an ex of wearable? - Answer :Helmets that monitor fatigue
Quiz :The National Ocianic (NOA) Monitors tsunami risk. Using the tsunami
detection buyous (smart prod) illustrates - Answer :CAT management
Quiz :WOTF data capture tools has led to an explosion of risk management
innovation by allowing smart products to transmit data? - Answer :Internet of
Things
Quiz :The diff between risk tech & insuretech is - Answer :Risk tech goes
beyond insuretech by expanding its focus to making risk financing more
efficient & preventing & mitigating losses in a variety of indv.
Quiz :Risk managers today differ from traditional risk managers in WOTF
ways? - Answer :They attempt to min threats & optimize opportunities
Quiz :In addition to metal detectors, many airports have installed a 2nd type
of scanning tech 4 checked baggage & cargo to detect explosives based on air
samples. Which sensor used for risk assemt and control? -
Answer :Biochemical sensors (home diagnosis tests, wearable fitness monitors,
diabetes tests)
Quiz :William is a risk manager for Green Mountain Trucking. He has always
analyzed auto loss frequency and severity rates for the fleet. William would
like to collect data on vehicle speeds, braking patterns, and distance traveled
and compare that with the loss history. Which one of the following would help
William capture and analyze this data? - Answer :Vehicle Telematics
Quiz :Southwest Interstate Railroad (SIR) is concerned about the number
derailments in recent years. It's not cost effective to use human assets to
inspect tracks, bridges, and trestles. Instead, SIR has started to use drones. A
drone can fly low over tracks and above/below bridges and trestles. The
drones record video that is transmitted to corporate headquarters where it is
simultaneously scanned for derailment hazards. In the past six months, the
