AIAF study plan

Define the core statutory accounting principles - conservatism, recognition, valuation, and admitted versus non-admitted assets - and state in one sentence why each exists.

Trace a premium dollar from written to earned, building an unearned premium reserve calculation by hand for a 12-month policy written mid-year.

Construct a loss reserve roll-forward (beginning reserve, incurred losses, paid losses, ending reserve) and identify which line items differ under statutory versus GAAP reporting.

Classify ten sample balance sheet items as admitted or non-admitted and justify each classification against a principle.

Account for acquisition costs by computing deferred acquisition cost amortization over a multi-year policy term and showing the effect on surplus.

Value a bond portfolio at amortized cost and at fair value, then quantify the surplus impact of the difference.

Record a simple proportional reinsurance transaction on both ceding and assuming sides, including ceded unearned premium and ceded loss reserves.

Explain how income taxes and policyholder dividends flow through the statutory income statement and surplus.

Walk through the structure of a statutory annual statement - balance sheet, income statement, capital and surplus account, and cash flow - and label the purpose of each schedule.

Rebuild a balance sheet from a supplied trial balance, correctly placing admitted assets, liabilities, and surplus.

Compute eight core ratios (loss, expense, combined, premium-to-surplus, reserve-to-surplus, and three liquidity or leverage measures) from constructed figures.

Diagnose which financial statement line a given transaction would move and in which direction.

Analyze a three-year income statement trend to separate underwriting results from investment results and explain the drivers of each swing.

Evaluate reserve adequacy using development patterns and flag signs of prior-year redundancy or deficiency.

Assess solvency and liquidity by linking balance sheet composition, cash flow, and premium leverage into one coherent argument.

Interpret segment and reinsurance disclosures to explain how ceded results distort topline comparisons.

Close remaining Domain 2 gaps by re-deriving every ratio and reserve adjustment missed on prior quizzes without notes.

Compute duration and duration gap for a simplified asset and liability portfolio and state the interest rate risk exposure.

Model how a shift in interest rates changes invested asset values, surplus, and reported investment income.

Explain how reinsurance, capital raising, and asset allocation each function as levers on capital adequacy.

Build a five-year pro forma projection linking premium growth, loss ratio, expenses, investment income, and resulting surplus.

Stress-test that projection under three scenarios (adverse loss trend, rate shock, growth surge) and record where capital binds.

Evaluate investment portfolio choices against liquidity needs, regulatory constraints, and tax treatment.

Relate pricing and profitability decisions to capital consumption and return on surplus.

Resolve outstanding Domain 3 weaknesses by reworking missed projection and duration problems from scratch.

Map the required statutory filings - annual statement, holding company registration, and financial reporting timetables - into a dated compliance calendar.

Apply ethical standards to three constructed dilemmas involving reserve estimates, disclosure timing, and expense allocation, and justify each recommended action.

Identify which financial reporting choices create the greatest incentive for misstatement and describe the control that mitigates each.

Summarize market conduct, reporting, and fiduciary obligations into a one-page recall sheet from memory.

Complete a full-length timed mock exam under exam conditions and score every domain separately.

Convert each mock exam error into a rewritten rule statement and re-test it within 48 hours.

Review the entire error log and confirm no domain remains below 80 percent accuracy.