General Insurance

Question 1

Actual cash value of property

Answer 1

Market value of comparable in kind, quality and condition - the depreciation is deducted

Question 2

Replacement value

Answer 2

Cost to replace with brand new, no depreciation deduction

Question 3

Salvage value

Answer 3

Not completely destroyed, value deducted from total loss

Question 4

3 ways to value insured property

Answer 4

Salvage
Actual cash value
Replacement value

Question 5

Information required for car insurance. 4

Answer 5

Type of vehicle
Optional coverage, deductible etc
Vehicle use
Drivers info

Question 6

Facility association

Answer 6

Non profit unincorporated entity set up by automobile insurance companies for high risk drivers

Question 7

Liability coverage

Answer 7

Negligence resulting in bodily injury, death,damage to property of third person
- specific amount is required in each province- pink card

Question 8

What is accident death coverage

Answer 8

Benefit that client may be entitled to if injured or killed in accident involving their own car
- everyone in car is covered

Question 9

What benefit are covered under accident benefit

Answer 9

Funeral, medical, rehabilitation, loss of income or death

Question 10

Is accident benefit coverage no fault

Answer 10

Yes

Client who was not at fault can sue at fault party

Question 11

Uninsured auto coverage

Answer 11

If injury or death caused by hit abs run, uninsured person, or underinsured that was at fault
- can sue at fault uninsured driver

Question 12

Direct compensation, property damage coverage

Answer 12

Damage to insured clients vehicle from an accident that was not entirely clients fault
- client submits claim to insurer regardless of who was at fault - no fault benefit

Question 13

Homeowners policy covers

Answer 13

Owner occupied only

No renters
No home business
No unoccupied

Question 14

A peril is

Answer 14

An event that may cause injury or a loss or damage to property

Question 15

Types of coverage based on covered perils 3

Answer 15

Comprehensive
Basic
Broad

Question 16

What does comprehensive homeowners insurance cover

Answer 16

All physical damage or loss to building or contents for all perils, unless specifically excluded

Question 17

What does basic homeowners insurance cover

Answer 17

Specified perils for building and content

Question 18

What does broad homeowners insurance cover

Answer 18

Cover building for all perils and content for specified only

Question 19

Homeowners policy provide coverage under 3 sections

Answer 19

Property
Liability
Additional options

Question 20

Property coverage section include

Answer 20

Dwelling building
Detached private structures
Personal property
Additional living expenses

Question 21

Typical homeowners policy covers building and structure attached - dwelling building section

Answer 21

Permanent equipment
Pools. Hot tubs

Optional for seasonal temporary removed and trees

Question 22

How much does insurer require building to be insured

Answer 22

At least 80%

Question 23

Section on detached private structures

Answer 23

Detached buildings covered here, garage, shed

Limited to 10% of coverage on building

Question 24

Personal property coverage refers to

Answer 24

Contents, including those taken away. I.e. trip

- can be extended to items belonging to student living away

Question 25

Minimum insurance amount on personal property

Answer 25

60 - 70% of building amount, sone insurers want more

Question 26

What does additional living expenses cover

Answer 26

Relocation due to insured peril 20% of building coverage is available If tenant, then 20% of personal content insurance

Question 27

What does liability coverage include

Answer 27

Homeowners actions anywhere in the world, or from owning, using, or occupying premise

Question 28

Liability coverage covers voluntary payments that insured would like to make to injured, but must not be result of legal. Three goodwill payments that client may make

Answer 28

Voluntary medical payment Voluntary payment for damage to property Voluntary compensation for residence employee

Question 29

Goodwill payment for voluntary medical payment

Answer 29

Within one year of injury or death

Question 30

Range of liability coverage

Answer 30

$500k to $2M

Question 31

Additional coverage may be added to third section. May include 5

Answer 31

``` Personal articles or fine art endorsement Sewer backups Flood Earthquake Windstorm/ hailstorm ```

Question 32

Factors that impact cost of premiums for homeowners insurance 7

Answer 32

``` Replacement cost of home Age of building Wood stove Geographic location Proximity to body of water Proximity to fire hydrant / station Security system ```

Question 33

3 types of coverage in tenant insurance

Answer 33

Personal property Additional living expenses Personal liability

Question 34

Two main types of title insurance

Answer 34

Owners policy | Lenders policy

Question 35

What does an owner’s title insurance policy cover

Answer 35

Protects owner from loss related to title, in effect as long as property is owned by buyer

Question 36

What dies a lenders title insurance policy cover

Answer 36

Protects lender who is unable to recover funds

Question 37

Liability insurance usually involves three entities

Answer 37

First party - insured Second party - insurer Third party - claimant

Question 38

Three forms of liability insurance

Answer 38

Cyber liability Director liability Environmental impairment liability

Question 39

Cyber liability insurance

Answer 39

Covers third parties that are harmed in cyber attack

Question 40

Directors liability insurance

Answer 40

Professional liability insurance for directors and executives

Question 41

Environmental impairment liability insurance

Answer 41

Covers third party liability resulting from polluting the environment

Question 42

Time it takes for Heath card to arrive

Answer 42

90 days

Question 43

Requirements for provincial health card. 3

Answer 43

Application Proof of eligibility Proof of residence

Question 44

Most travel insurance includes 5

Answer 44

``` Emergency hospital and medical care Accidental death 24hrtravel assistance Return trip home Arrange for family travel ```

Question 45

Additional cost to add to travel insurance. 3

Answer 45

Trip cancelation Trip interruption Lost baggage

Question 46

Factors affecting price of travel insurance 4

Answer 46

Age Duration Coverage amount Health history

Question 47

Post claim underwriting

Answer 47

Policy issued without preappoval, investigation after claim

Question 48

Things normally excluded in travel insurance. 10

Answer 48

``` Preexisting not disclosed Unstable preexisting Misrepresented facts War Alcohol and drugs Mental disorders Pregnancy Self inflicted Elective treatments Travel advisory areas ```