Study 2: Application Practice Question

Question 1

Louis is a claims adjuster with a large Canadian insurer, and he decides to volunteer as an ambassador with the Insurance Institute of Canada’s Career Connections program. As an ambassador, one of his duties is to promote the insurance industry to youth in a positive way in classroom settings. He will soon be giving his first presentation to a class of senior high school students. What information will he include in his presentation to explain the following?

a. The components of the insurance model and the way they work together to spread risk. (5 marks

Answer 1

a. Components of the insurance model:

• A group of people who are exposed to loss
• Pay into a pool of funds (through paying an insurance premium)
• The pool of funds is managed by the insurer
• It will be used for members of the group who suffer a loss
• To be indemnified

(5 marks)

Question 2

Louis is a claims adjuster with a large Canadian insurer, and he decides to volunteer as an ambassador with the Insurance Institute of Canada’s Career Connections program. As an ambassador, one of his duties is to promote the insurance industry to youth in a positive way in classroom settings. He will soon be giving his first presentation to a class of senior high school students. What information will he include in his presentation to explain the following?

b. Five types of jobs directly in insurance that students may be interested in pursuing after graduation. (5 marks)

Answer 2

b. Jobs that insurance creates directly (marks allowed for other valid responses):

• Adjuster
• Accountant
• Agent or broker
• Lawyer
• Underwriter

(5 marks)

Question 3

Louis is a claims adjuster with a large Canadian insurer, and he decides to volunteer as an ambassador with the Insurance Institute of Canada’s Career Connections program. As an ambassador, one of his duties is to promote the insurance industry to youth in a positive way in classroom settings. He will soon be giving his first presentation to a class of senior high school students. What information will he include in his presentation to explain the following?

c. Some examples of types of general insurance that students will have encountered on their way to school that day. (5 marks)

Answer 3

c. Examples of general insurance (marks allowed for other valid responses):

• Automobile insurance
• Home/tenant/condominium unit owner insurance
• Real property insurance (bridges, tunnels, power transmission lines, etc.)
• Floater policies for items students own
• Accident insurance

(5 marks)