Past Exam Questions Flashcards
Sue would like to take out a cover that would enable her to seek treatment outside of the NHS in the event of her needing it, which kind of insurance should she take out? A) life assurance B) sickness insurance C) medical expenses insurance D) personal accident insurance
D) personal accident insurance
How many rating classes do personal accident insurers have for calculating premiums, based on a proposers occupation? A) 1 B) w C) 3 D) 4
D) 4
What is another name for market value where a household insurer offers an amount to replace a damaged item with another of a similar condition or age? A) liability B) indemnity C) reinstatement D) manifestation
B) indemnity
Damage to a television aerial itself under a household policy is:
A) covered under buildings section
B) covered under contents section
C) excluded from cover due to fragile nature
D) covered if the roof is damaged at the same time
B) covered under the contents section
Derek takes put a theft policy to cover his high street store. Which of the following would typically be a limitation of his policy? A) robbery and aggravated burglary B) replacement of locks C) breakage of glass D) cash and bank notes
D) cash and bank notes
Cover under legal expenses insurance is usually limited to an amount per: A) claim B) policy period C) type of claim D) month
A) claim
Which of these is a cover typically available under a standard commercial legal protection policy? A) employment cover B) personal cover C) conveyancing cover D) loss of profits
A) employment cover
How does a declaration linked policy fix the sum insured in a business interruption policy? By requiring the policyholder to:
A) estimate figures for the forthcoming year
B) provide details of turnover for the previous year
C) provide details of turnover for the previous 3 years
D) estimate figures for the next 3 years
A) estimate figures for the forthcoming year
What do the six special perils under a business interruption policy relate to? A) engineering B) service industries C) natural disasters D) operational error
A) engineering
Which of the following statements relating to the limitations of an employers liability policy is true?
A)there are many standard exclusions
B) there is a standard war risk exclusion
C) cover may be limited by the underwriter
D) most exclusions are permitted by law
C) cover may be limited by the underwriter
Which of these is a limitation on a public liability policy? A) injury to persons B) consequential loss C) contractual liability D) damage to property
C) contractual liability
Pension funds trustees insurance excludes:
A) risk of personal liability for the commission of a wrongful act
B) theft of fund assets
C) loss of documents
D) failure of the employer to collect contributions
D) failure of the employer to collect contributions
In the context of risk management what is an EML? A) estimated maximum loss B) excess material loss C) estimated material loss D) exposed maximum loss
A) estimated maximum loss
Which of these is an area for recommendation that an insurer will look at in relation to products liability insurance? A) defensive driving courses B) labelling for clarity C) method of transit D) adequacy of training
B) labelling for clarity
How does the London market usually obtain information about a proposed risk? A) supplementary questionnaires B) market reform contract C) interviews D) internet search
B)market reform contract
