Ch : 1 Motor Insurance

Question 1

Minimum motor insurance prescribed by law in UK

Answer 1

1.covers the legal liability to pay damages arising out of injury caused to any person (unlimited in amt)
2.Damage to the property pf others (certain limits and exclusions)

Question 2

Main classes of Motor Insurance

Answer 2

Private cars
Motorcycles
Commercial Vehicles

Question 3

Most significant compulsory insurance in UK

Answer 3

Pvt Motor Insurance

Question 4

4 levels of cover under motor insurance

Answer 4

• RTA ( Road Traffic Act only )
  -Third Party only (TPO)
  -Third Party, fire and theft (TPFT)
• Comprehensive

Question 5

RTA only covers

Answer 5

Indemnity for bodily injury or death caused to third parties, including pax (unlimited in amt)
Indemnity for loss of or damage to property belonging to TP : limited to £ 1.2 million
Indemnity for claimants cost n expenses of handling claim
-cover for charges for any emergency medical treatment and hospital charges arising out of the use of the vehicle

Question 6

In which policy it covers any legal liability that the employers has towards the driver

Answer 6

Employes liability policy

Question 7

What is the first amt of each and every claim that the insured must bear

Answer 7

Excess

Question 8

Claim payment made under which section alone does not affect the insured ncd.

Answer 8

Breakage of glass

Question 9

Which vehicles are known as courtesy cars

Answer 9

Some repair garages offer the use of an alternative vehicle while they hold the customers vehicle for repair these vehicles are commonly known as courtesy cars

Question 10

Which cover can be offered for caravans or trailers while they are attached to the insured vehicle

Answer 10

Third Party cover

Question 11

Comprehensive cover for a trailer may be provided as an extension to a

Answer 11

Private motor policy

Question 12

Which events may be covered at no additional charge

Answer 12

Road safety rallies

Question 13

Which activity under the usage of vehicle is not considered as normal social , domestic and pleasure use

Answer 13

Vehicles used in connection to elections

Question 14

Who provides cover following a motor accident or incident where the insured is not to blame

Answer 14

Motor legal expenses

Question 15

Motor legal expenses provides cover up to

Answer 15

£ 100,000 to pay lawyers costs in assisting a claim for financial losses or compensation for personal injury from the person who is responsible

Question 16

In which condition the person will not be indemnified under motor insurance

Answer 16

If they know the person driving the vehicle at the time does not hold a license

Question 17

New commercial business models mean

Answer 17

A vehicle van be used both for personal and commercial use

Question 18

Under which section is that a claim payment made alone does not affect the insured s NCD

Answer 18

Breakage of glass

Question 19

Green card has an exception of tye following

Answer 19

The EU member states
Croatia
Iceland
Norway
Switzerland
Liechtenstein
Luxembourg
Andorra

Question 20

Optional extensions in addition to the std policy cover

Answer 20

Breakage of glass
Personal belongings and clothing
Young additional drivers
Loss of use
Personal accident benefits
Foreign use
Elections
Racing, competition, rallies and trials
Caravans and trailers
Breakdown cover
Mother legal expenses
Joint policies
Multi car policies
Misfuelling