AINS Practice Exam Review.pdf file:///C:/Users/HP/Desktop/eewwww/AINS%20Practice%20Exam%
AINS Practice Exam Review
1. One distinguishing feature between independent agency systems and othermarketing
systems is the...
ANS agency expiration list
2. Foreign Insurer
ANS An insurer licensed to operate in a state but incorporated inanother state
3. Domestic Insurer
ANS An insurer doing business in the jurisdiction in which it wasincorporated
4. Alien Insurer
ANS An insurer domiciled in a country other than the US
5. Direct Response Marketing System
ANS Greatly reduces compensation costs buthas higher advertising costs
6. Agency Expiration List
ANS An agency's most valuable asset (does not belong toinsurer)
7. Important consideration when selecting distribution channels
ANS Does thechannel capitalize on its core capabilities?
1/5
1 of 15 8/2/2024, 3:58
,AINS Practice Exam Review.pdf file:///C:/Users/HP/Desktop/eewwww/AINS%20Practice%20Exam%
8. Knowledge acquired by the agent is presumed to be..
ANS knowledge acquiredby the insurer
9. Premium collection method used for personal insurance and small commer-cial accounts
ANS Direct Bill
10. What specifies scope of authority of an agent?
ANS Agency contract
11. Agency Bill
ANS Payment procedure in which a producer sends premium bills to the insured, collects the
premium, and sends the premium to the insurer, less anycommission
12. Item Basis
ANS Premium (less commission) is forwarded to the insurer when theproducer collects it or
when it comes due. Least complex method
13. Statement Basis
ANS Insurer sends statement to the producer showing the premi-ums due. Producer is
obligated to pay the premiums as due.
14. Account Current Basis
ANS Producer periodically prepares a statement showing the premiums due to the insurer,
after deducting appropriate commissions, and transmits the amount to the insurer.The agency
2/5
2 of 15 8/2/2024, 3:58
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 TIPSCORE. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $13.49. You're not tied to anything after your purchase.
