ARM™ 401 Exam: Most Important Topics

The ARM™ 401 is a difficult exam. In this blog, we are breaking down the most important topics of the ARM™ 401 exam (so you know what to study).

We will detail exactly what you should focus on when studying to pass this exam. The information in this blog post comes directly from our ARM™ 401 Online Course.

ARM™ 401 Exam Topics

The ARM™ 401 exam is all about risk. This exam covers the following topics:

  • Identifying risks
  • Analyzing risks
  • Modeling risks
  • Big data
  • Hazard risks
  • Cyber risks
  • Operational risks
  • Social media risks
  • Financial risks
  • Supply chain risks

ARM™ 401 Most Important Topics

In our opinion, there are three critically important topics that you need to know to pass the ARM™ 401 exam:

  • Risk techniques – including techniques to identifying risk (Delphi, HAZOP, SWOT…), risk assessment techniques (FMEA, fault tree, risk map…), and risk analysis techniques (change analysis, energy transfer theory, job safety analysis…). Understand each technique, when to apply each technique, and how to apply each technique in a real-life scenario.
  • Risk modeling formulas – there is a lot of math on this exam. In fact, there are over 20 formulas that you need to memorize and understand. Make sure you memorize and understand probability, standard deviation, coefficient of variation, normal distribution curve, and linear regression.
  • Risk types – there are a few broad categories of risk covered in this exam. Hazard risk, operational risk, and financial risk are three of the most prevalent. Make sure you know what these risks are, and know how to mitigate these risks. This will come up on the exam in a scenario-based question to test your application of risk management.

We have found that these are important topics that may be on your exam in the form of a scenario-based question.

You can see an example of how these are worked into a scenario-based question in our ARM™ 401 Practice Exam Questions Blog.

Free Practice Exam

Ready to get started studying? We’re here to help (for free). Download our free ARM™ 401 practice exams to get a feel for the type of questions you will see on the exam.

Download: Free Practice Exam (CPCU® | ARM™ | AINS™ | API™)

More Information

For more information about the ARM™ 401 exam, check out some of our other free resources:



Difficulty rank, importance rank, and the advice provided in this resource are solely the opinion of AssociatePI. This resource is intended to provide you with a general idea of where your focus should be. Each exam administered by The Institutes is different. AssociatePI is not affiliated with The Institutes or involved in the exam writing process. Please be sure to thoroughly study every chapter and every topic of this course.

ARM™ exams are administered by the American Institute for Chartered Property Casualty Underwriters (“The Institutes”). AssociatePI does not administer the actual exams, we are an independent resource of free content, advice, and study material for professional insurance education. This blog is intended for informational purposes only, to inform prospective students of the benefit of the ARM™ designation.

CPCU®, ARM™ and API are trademarks of the American Institute for Chartered Property Casualty Underwriters (“The Institutes”). AssociatePI LLC is not affiliated with, associated with, endorsed by or otherwise supported or recognized by The Institutes in any way. AssociatePI LLC is not authorized by The Institutes to offer courses, practice examinations, or any other resources related to the Institutes’ designations or other programs.

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