Chapter 1 Section 2 Part 5

Question 1

If the insurer does decide to REPAIR, rebuild, or replace, this must commence within what time period following RECEIPT of the proofs of loss?

Answer 1

45 days

Question 2

When policies insure against a wide range of perils, insurers generally incorporate 5 “Additional Conditions” What are they?

Answer 2

Notice to Authorities
Sue and Labour
No Benefit to Bailee
Pair and Set
Parts

Question 3

Explain the requirement placed upon the insured when there has been a loss due to certain criminal acts.

Answer 3

give immediate notice to police, other authorities having jurisdiction

Question 4

When there is a loss/damage to only one item of a pair/set, the loss is not a total loss. Give an example of a loss to demonstrate your understanding of this condition.

Answer 4

earrings

Question 5

Other legislated requirements contained in all contracts of fire insurance (6)

Answer 5

• Contents of Insurance Policies Legislated
• Removal Coverage
• Effect of Delivery of Policy
• Waiver of Term or Condition
• Right of Subrogation Legislate
• Limitation of Liability Clauses - Usage Legislated

Question 6

the insurer, instead of making payment, may repair, rebuild, or replace the property giving the insured written notice. If the insurer elects to REPAIR, how many days WRITTEN NOTICE must be given to the insured?

Answer 6

60 days

Question 7

Details to appear on every policy of insurance

Answer 7

• Policy Period
• Parties to contract
• Loss payable, payee, if any
• Type of insurance coverage, Amounts of which insurer maybe liable
• Rates, premium charged
• Subject Matter of insurance policy

Question 8

Conditions applicable to the “Removal Clause” (3)

Answer 8

• moved to prevent damage
• item only insured for individual worth (other amounts subtracted)
• least of 7 days, policy expiry date