TRIP Cheat Sheet 2026

The 30 highest-yield TRIP facts, distilled from real exam questions. Print it, save it as a PDF, or study it here — free, no sign-up.

1. An ACORD 25 Certificate of Liability Insurance issued to a certificate holder: → Serves as evidence of insurance but does not confer rights or amend policy terms
2. In transportation risk management, 'residual risk' is defined as: → The exposure that remains after all mitigation controls are applied
3. Collateral is required from an insured under a large deductible program to: → Protect the insurer against the insured's failure to reimburse deductible losses
4. A corridor deductible in a transportation program is BEST described as: → An insured-funded layer sitting between two insurer-funded layers in the program structure
5. Which concept describes the maximum total cost of risk a transportation company is willing to absorb before purchasing excess or umbrella coverage? → Self-insured retention (SIR)
6. What is a key benefit of budgeting in organizational management? → It provides a financial roadmap and enables performance measurement against targets
7. A TRIP professional suspects that a transportation company applicant has submitted falsified loss history. The ethical obligation is to: → Investigate the discrepancy and report findings to underwriting management
8. In the context of transportation claims, what is 'excess coverage' and when does it apply? → Coverage that applies only after the primary policy's limits are fully exhausted
9. Under federal regulations, what is the maximum permissible blood alcohol concentration (BAC) for a commercial driver while operating a CMV? → 0.04%
10. Which emerging technology trend is expected to most significantly reshape transportation risk profiles over the next decade? → Connected and autonomous vehicle technology
11. Which document must accompany a commercial motor vehicle transporting hazardous materials to satisfy federal regulations? → Shipping papers and emergency response information
12. When should a risk register be updated? → Continuously as new risks emerge and existing risks change
13. Which federal agency oversees interstate commercial trucking regulations? → FMCSA
14. Which statement BEST reflects the TRIP Code of Ethics regarding fair competition among transportation insurance professionals? → Competing through superior service and expertise rather than disparaging competitors
15. Under FMCSA rules, a motor carrier must retain records of driver qualification files for how long after a driver leaves employment? → 3 years
16. What is the purpose of risk mitigation strategies in transportation? → Minimize losses from potential risks
17. Why is customer segmentation important for market strategy? → It enables targeted approaches that address specific needs of different groups
18. What is the principle of indemnity in insurance? → To restore the insured to their pre-loss position
19. Under a retrospective rating plan, a transportation company's final premium is adjusted based on: → The company's actual loss experience during the policy period
20. When a TRIP professional represents a client in a cargo claim dispute, ethical standards require that they: → Present facts honestly and support the client's legitimate claim without misrepresentation
21. A risk manager for a motor carrier uses loss runs to calculate a loss development factor (LDF). The primary purpose of applying LDFs is to: → Project immature losses to their ultimate settled value
22. A transportation insurer uses telematics data to identify drivers with harsh braking scores above a threshold. This practice is an example of: → Predictive analytics applied to proactive loss control
23. Which regulation requires commercial motor vehicle operators to use Electronic Logging Devices (ELDs) to record hours of service? → The ELD Mandate under 49 CFR Part 395
24. Which risk management concept describes the variability of actual losses around their expected value? → Volatility
25. How should a professional handle a client disagreement about recommendations? → Listen actively, explain the rationale, and document the client decision
26. A transportation company's accounts receivable days outstanding increased from 32 to 58 days. A risk manager should be concerned because this may indicate: → Customers are paying more slowly, straining cash flow
27. A 'hard market' in transportation insurance is best characterized by which condition? → Reduced capacity, higher premiums, and stricter underwriting
28. A transportation insurer reports a combined ratio of 112% for its trucking liability line. What does this indicate? → Losses and expenses exceed premiums collected, resulting in an underwriting loss
29. Which of the following is an example of a loss control strategy? → Using telematics to monitor drivers
30. Under FMCSA drug and alcohol regulations, a commercial driver is prohibited from operating a CMV if their blood alcohol concentration (BAC) is at or above: → 0.04%