Practise

Question 1

What is a form of temporary ins that can be legally binding whether expressed orally or in writing

Answer 1

Cover note

Question 2

What is a verbal threshold?

Answer 2

The description of the degree of injury required for a claimant to sue for non-economic loss

Question 3

On which basis(es) can a professional liability policy be written

Answer 3

Claims made it ocurrence basis

Question 4

What is provided by the loss assessment coverage in a comprehensive condominium policy?

Answer 4

Coverage for the unit owner, if assessed an amount due to insufficient condominium corporation’s insurance

Question 5

Which section of a homeowners policy provides coverage to protect individuals & their families for damage or injury they cause to others

Answer 5

Personal liability

Question 6

Mark is a plumber who installed a bathroom sink for a client. Due to improper installation, the sink leaks and caused damage to the clients home. What type of liability coverage does Mark need to pay for this damage?

Answer 6

Products and completed operations: covers losses arising from completed operations or work insured performs that is defective and results in injury or damage to property

Question 7

Which provincial legislation included provisions to protect consumers

Answer 7

The insurance Act of Ontario

Question 8

What is a rate group

Answer 8

A numerical value assigned to a vehicle based on list price new, suggested retail price, or the age

Question 9

Who performs the day to day tasks for the facility Assocoaltion

Answer 9

Servicing Carriers

Question 10

Which statutory condition is unique to automobile insurance

Answer 10

Incorrect classification

Question 11

What is the purpose of the Drivers Automobile Policy OAP 2?

Answer 11

Provides 3rd party liability for a driver who does not have their own vehicle to insure

Question 12

Additional Condition-Parts

Answer 12

If a property consists of several parts, the insurer is only liable for the insured value of the lost or damaged parts (only pay parts that were damaged)

Question 13

What is required if you are moving property insured under a fine arts floater

Answer 13

Policy requires that the packaging and unpacking be done by professional packers

Question 14

What is the purpose of a full average clause included in boat insurance policies

Answer 14

Requires the insured to bear a portion of any loss of the boat is not insured to its full value

Question 15

What does identity theft coverage provide

Answer 15

Legal fees, costs associated with sending certified mail or notarizing affidavits and earnings lost due to time away from work

Question 16

What is employers liability

Answer 16

Legal liability for bodily injury to residence employees arising out of their employment for the insured

Question 17

What actions are included in the definition of unfair or deceptive acts or practices of the Ontario Regulation 7/00?

Answer 17

Causing unreasonable delay or resistance to the fair adjustment and settlement of claims due to any conduct

Question 18

common law provinces have statutory conditions. What are similar conditions called in Quebec

Answer 18

General conditions

Question 19

What is the fundamental objective of the underwriter when accepting risk

Answer 19

Ensure the premium charged adequately reflects the potential for loss

Question 20

When would an insured homeowner be required to purchase a specialized boat or marine policy

Answer 20

When the boat exceeds the value, size, and power restrictions

Question 21

What task is the duty of a broker in a claims situation

Answer 21

Assist clients in reporting their losses to their insurers

Question 22

Why do commercial garages require a garage automobile policy

Answer 22

To fill coverage gap in their customers standard owners policy because garage staff are excluded

Question 23

What is a public automobile

Answer 23

Vehicle used to transport peopel

Question 24

What coverage sections of a comprehensive homeowner policy covers a standalone garage

Answer 24

Coverage B - Detached Private Structure

Question 25

What method of providing incline replacement ins treats an interruption of business as over once the physical loss is fixed and business can reopen

Answer 25

Earnings approach

Question 26

Who most satisfy the courts about materiality that was not disclosed

Answer 26

Insurer

Question 27

What is the peril insured against in liability ins

Answer 27

Negligence

Question 28

What document is evidence of a contract and stated the exact terms and provisions of the agreement between the insured and the insurer

Answer 28

Insurance policy

Question 29

3 ways to calculate Actual Cash Value

Answer 29

1. Cost to repair or replace, less depreciation
2. Fair market value
3. Consideration of all relevant evidence of the value of the damage property

Question 30

When is a non-disclosure or misrepresentation most likely to be discovered

Answer 30

While adjusting the claim

Question 31

How do government insurance distribute their products?

Answer 31

Government, direct sales department, or through other government agencies

Question 32

Can an insured collect the full amount of the same loss from two insurance policies

Answer 32

No, because the concept of contribution means that each ensure would only pay their readable portion of the loss

Question 33

Which insurance distribution system uses a Commission paid independent salesforce and represents several companies

Answer 33

Independent brokerage

Question 34

What is contribution?

Answer 34

Sharing of a loss or liability between two or more insurers(insurance companies) covering the same risk

Question 35

What endorsement is added to a policy that will provide coverage for the cost of using a ride sharing program when the automobile is being repaired?

Answer 35

OPCF 20 - coverage for transportation replacement

Question 36

OPCF 6B key functions

Answer 36

1. Permission to carry passengers.
2. Separate limits for specific coverage
3. Legal liability coverage to property of passengers.

Question 37

The liability section of a homeowners policy includes which of the following coverages

Answer 37

Defense, settlement, and supplementary payments, which are in excess of the limit of insurance

Question 38

Which term describes, an agreement with specifically stated, arrangements, agreed-upon by the insurer in the intermediary

Answer 38

Express contract

Question 39

What is the purpose of the Sue in labour clause in homeowners insurance policies

Answer 39

Requires the insured, and event of a loss, to take all reasonable steps to protect him, recover the insured property

Question 40

Who are the owners of a mutual insurance company?

Answer 40

Policyholders

Question 41

What coverage does the broad homeowners policy provide?

Answer 41

All perils coverage for buildings and named perils for contents

Question 42

Which term describes, an agreement with specifically stated, arrangements, agreed-upon by the insurer in the intermediary

Answer 42

Express contract

Question 43

Who are the owners of a mutual insurance company?

Answer 43

Policyholders

Question 44

What coverage does the broad homeowners policy provide?

Answer 44

All perils coverage for buildings and named perils for contents

Question 45

What coverage is provided by a basic homeowners policy?

Answer 45

Named perils coverage for buildings, personal property, and additional living expenses

Question 46

Which regulation deals with the registration and licensing of vehicles and drivers

Answer 46

The highway traffic act

Question 47

Which coverage would cover the cost of leasing a temporary business location after an insured loss damaged the original premises

Answer 47

Extra expense coverage