Career upgrade: Learn practical AI skills for better jobs and higher pay.
Level up
PracticeVideosBlogFlashcardsEspañol
All Practice Exams

100+ Free CSPA Practice Questions

Pass your iCAS Certified Specialist in Predictive Analytics (CSPA) exam on the first try — instant access, no signup required.

✓ No registration✓ No credit card✓ No hidden fees✓ Start practicing immediately
Not published Pass Rate
100+ Questions
100% Free
1 / 100
Question 1
Score: 0/0

An auto policy has a $500 deductible and a $50,000 limit. A covered loss of $35,000 occurs. What does the insurer pay?

A
B
C
D
to track
Same family resources

Explore More CAS Casualty Actuarial Society Exams

Continue into nearby exams from the same family. Each card keeps practice questions, study guides, flashcards, videos, and articles in one place.

CAS Exam 5 Basic Ratemaking and Estimating Claim Liabilities

Practice Questions

CAS Exam 6 Regulation and Financial Reporting (US)

Practice Questions

CAS Exam 7 Estimation of Policy Liabilities, Insurance Co Valuation, ERM

Practice Questions

CAS Exam 8 Advanced Ratemaking

Practice Questions

CAS Exam 9 Financial Risk and Rate of Return

Practice Questions

CAS Exam MAS-I Modern Actuarial Statistics I

Practice Questions
2026 Statistics

Key Facts: CSPA Exam

3 exams

Plus Case Study Project

iCAS CSPA curriculum

~$850

Fee Per Exam Component

iCAS CSPA fee schedule

75 / 100

MCQs (Exam 1 / Exam 2)

iCAS CSPA FAQ

4 hours

Exam 3 Time Limit

iCAS CSPA FAQ

May 21 / Nov 19

2026 Exam 3 Sittings

iCAS Procedures & Registration

TrueAbility

Exam 3 Remote Platform

iCAS CSPA FAQ

CSPA is awarded by The CAS Institute (iCAS) for predictive analytics applied to P&C insurance. Candidates pass three exams plus a case study: Exam 1 (P&C Fundamentals, 75 MCQs, 3 hours), Exam 2 (Data Concepts and Visualization, 100 MCQs, 3 hours), and Exam 3 (Predictive Modeling, mixed format, 4 hours, delivered remotely via TrueAbility). Each exam component is approximately $850; bundled course+textbook+SMART packages run $1,170-$1,330. Exam 3 2026 sittings are Thursday, May 21 and Thursday, November 19.

Sample CSPA Practice Questions

Try these sample questions to test your CSPA exam readiness. Each question includes a detailed explanation. Start the interactive quiz above for the full 100+ question experience with AI tutoring.

1In property-casualty insurance, what is the definition of pure premium?
A.Expected losses (and loss adjustment expenses) per unit of exposure
B.Total written premium divided by total earned premium
C.Gross premium minus the underwriting profit provision
D.Premium net of ceded reinsurance and brokerage
Explanation: Pure premium equals expected losses (often including loss adjustment expenses) divided by exposure units. It is the loss-cost foundation of the gross premium, which then adds expenses, profit, and contingencies on top.
2An insurer reports incurred losses of $70M, LAE of $5M, underwriting expenses of $25M, and earned premium of $100M. What is the combined ratio?
A.100%
B.95%
C.75%
D.70%
Explanation: Combined ratio = (incurred losses + LAE + underwriting expenses) / earned premium = (70 + 5 + 25) / 100 = 100%. A combined ratio of 100% means underwriting breakeven before investment income.
3Which decomposition of pure premium is most commonly used in ratemaking?
A.Pure premium = frequency × severity
B.Pure premium = frequency + severity
C.Pure premium = loss ratio × earned premium
D.Pure premium = combined ratio − expense ratio
Explanation: Pure premium per exposure equals claim frequency (claims per exposure) multiplied by claim severity (average loss per claim). This decomposition lets actuaries model frequency and severity separately, often with Poisson and Gamma GLMs.
4Which of the following best defines IBNR reserves?
A.An estimate of losses that have occurred but have not yet been reported to the insurer
B.Case reserves set by claims adjusters on individual reported claims
C.The unearned portion of premium that must be returned if the policy is cancelled
D.Reserves the insurer holds for unallocated loss adjustment expenses only
Explanation: IBNR (Incurred But Not Reported) reserves cover losses that have occurred on or before the valuation date but have not yet been reported, plus development on already-reported claims. Case reserves are a separate component set claim-by-claim by adjusters.
5What does ALAE stand for in P&C reserving?
A.Allocated Loss Adjustment Expense
B.Adjusted Loss And Expense
C.Aggregate Loss Avoidance Expense
D.Annual Loss Allocation Estimate
Explanation: ALAE is Allocated Loss Adjustment Expense: defense costs and other expenses directly tied to specific claims, such as outside counsel fees. ULAE (unallocated LAE) covers overhead like internal claims staff salaries.
6An auto policy has a $500 deductible and a $50,000 limit. A covered loss of $35,000 occurs. What does the insurer pay?
A.$34,500
B.$35,000
C.$35,500
D.$50,000
Explanation: The insured retains the $500 deductible, so the insurer pays the loss minus the deductible: $35,000 − $500 = $34,500. The limit is not breached because the loss is below $50,000.
7Which department typically owns rate-level indication analysis at a P&C insurer?
A.Actuarial
B.Claims
C.Underwriting
D.Marketing
Explanation: Rate-level (overall rate change) indications and ratemaking analyses are produced by the actuarial department. Underwriting selects risks, claims handles settlements, and marketing drives distribution.
8Which of the following is an example of a P&C exposure base that is well aligned with the underlying loss potential?
A.Car-years for personal auto liability
B.Number of employees for homeowners insurance
C.Square feet of office space for commercial auto
D.Annual revenue for personal auto
Explanation: Car-years is the standard auto-liability exposure base: it scales linearly with the time a vehicle is on the road, where losses can occur. Good exposure bases vary directly with expected losses and are practical to measure.
9Which entity is the primary regulator of insurance in the United States?
A.The state insurance department (with NAIC coordination)
B.The Federal Reserve
C.The Securities and Exchange Commission
D.The Consumer Financial Protection Bureau
Explanation: Under the McCarran-Ferguson Act, U.S. insurance is regulated primarily at the state level by state insurance departments. The NAIC coordinates model laws and uniform reporting across states.
10An insurer's policy limit is $100,000 per occurrence. A covered loss of $150,000 occurs. What does the insurer pay (ignoring deductibles)?
A.$100,000
B.$150,000
C.$50,000
D.$75,000
Explanation: The insurer pays up to the policy limit, so the payment is capped at $100,000 even though the loss is $150,000. The insured retains the remaining $50,000 of loss.

About the CSPA Exam

The Certified Specialist in Predictive Analytics (CSPA) is awarded by The CAS Institute to analytics professionals applying predictive modeling to property-casualty insurance. The credential requires two online courses, three exams (Property-Casualty Insurance Fundamentals, Data Concepts and Visualization, Predictive Modeling Methods and Techniques), an Ethics and Professionalism course, and a hands-on case study project. CSPA holders combine P&C insurance literacy with practical GLM, tree-based, and model-validation skills used in ratemaking, claims analytics, and reserving.

Questions

100 scored questions

Time Limit

3-4 hours per component

Passing Score

Per-sitting cut

Exam Fee

~$850 per exam component (The CAS Institute (iCAS), arm of the Casualty Actuarial Society)

CSPA Exam Content Outline

Exam 1

P&C Insurance Fundamentals

Risk management, insurance company operations (marketing, underwriting, actuarial, claims), policy analysis, common coverages, factors affecting exposure to loss, insurance regulation, and basic ratemaking and reserving concepts (75 MCQs, 3 hours)

Exam 2

Data Concepts and Visualization

Data sources/access/usage, data quality, regulations and ethics, univariate and multivariate exploration, visualization for P&C analytics, project planning, and public perception (100 MCQs, 3 hours)

Exam 3

Predictive Modeling Methods and Techniques

Identifying the business problem, designing the model, preparing data, feature selection, GLMs (Poisson frequency, Gamma severity, Tweedie pure premium), tree-based models, model validation (Gini, lift charts), and communicating results (mixed format, 4 hours, remote via TrueAbility)

Capstone

Case Study Project

End-to-end predictive modeling project on a supplied P&C business problem and dataset, including data prep, model building, validation, and a stakeholder writeup

How to Pass the CSPA Exam

What You Need to Know

  • Passing score: Per-sitting cut
  • Exam length: 100 questions
  • Time limit: 3-4 hours per component
  • Exam fee: ~$850 per exam component

Keys to Passing

  • Complete 500+ practice questions
  • Score 80%+ consistently before scheduling
  • Focus on highest-weighted sections
  • Use our AI tutor for tough concepts

CSPA Study Tips from Top Performers

1Lock down P&C vocabulary early: pure premium, loss ratio, combined ratio, frequency vs severity, IBNR vs case reserves, ALAE vs ULAE
2For Exam 3, drill the GLM trio: Poisson with log link for frequency, Gamma with log link for severity, and Tweedie for pure premium with exposure as an offset
3Practice tree-based models hands-on in R or Python (random forest, gradient boosting, XGBoost) and read SHAP/partial-dependence plots fluently
4Use double-lift charts to compare two ratemaking models on the same data; understand Gini coefficient as the ranking metric the exam expects
5Treat the case study like a stakeholder deliverable: document data choices, feature decisions, validation results, and business recommendations clearly

Frequently Asked Questions

What is the iCAS CSPA credential?

The Certified Specialist in Predictive Analytics (CSPA) is awarded by The CAS Institute (iCAS), an arm of the Casualty Actuarial Society. It certifies analytics professionals working on property-casualty insurance problems. Candidates complete two online courses, pass three exams (P&C Fundamentals, Data Concepts and Visualization, Predictive Modeling Methods and Techniques), complete an Ethics and Professionalism course, and finish a hands-on case study project.

What is the format of each CSPA exam?

Exam 1 (Property-Casualty Insurance Fundamentals) is 75 multiple-choice questions in 3 hours. Exam 2 (Data Concepts and Visualization) is 100 multiple-choice questions in 3 hours. Exam 3 (Predictive Modeling Methods and Techniques) is 4 hours and may include multiple choice, short answer, and hands-on items; it is delivered remotely through the TrueAbility cloud platform.

How much does the CSPA cost in 2026?

Each exam component (Exam 1, Exam 2, Exam 3, and the Case Study Project) is approximately $850 per attempt. Course bundles for Exams 1 and 2 with textbooks and SMART study aids run $1,170 to $1,330. Retakes for Exams 1 and 2 are about $450. Always verify the current schedule on the iCAS fees page before registering.

When are the CSPA exams offered in 2026?

Exam 3 (Predictive Modeling) has two 2026 sittings: Thursday, May 21 and Thursday, November 19. Exams 1 and 2 are offered more flexibly through The Institutes after completing the corresponding online course (PC1 or DS1). The Case Study Project also has scheduled sittings registered through the CAS portal.

Who administers the CSPA exams?

The CAS Institute oversees the CSPA credential. Exams 1 and 2 are delivered through The Institutes (you register by calling Customer Success at 800-644-2101). Exam 3 is administered remotely through the TrueAbility cloud-based platform. The Case Study Project is registered through the CAS portal.

How long should I study for the full CSPA?

Plan 500 to 700 hours across the full CSPA pathway. iCAS estimates roughly 200 hours for Exam 1 and 300 hours for Exam 3, with similar time for Exam 2 and the case study. Most working candidates finish in 12 to 24 months, with the heaviest blocks of time on Exam 3 and the capstone project.

What prerequisites do I need for CSPA?

There is no formal degree requirement. You must complete the PC1 online course before sitting Exam 1, the DS1 online course before sitting Exam 2, and the Ethics and Professionalism online course before sitting Exam 3. Comfort with R or Python, basic statistics, and regression is essential to pass Exam 3 and complete the case study.