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IIC Principles and Practice of Insurance Sample Questions:

1. What is stated in the insuring agreements of a policy?

A) Lienholder
B) Description of the property covered
C) Premium
D) Signature clause

2. Which legal term describes the time in which a claim may be brought by the policyholder?

A) Release
B) Non-waiver
C) Prescription
D) Waiver

3. What is binding authority?

A) Permission to confirm coverage before submitting it to the insurer
B) List of clients who the broker can contact for coverage
C) Agreement between an insurer and an insured regarding reinsurance
D) Equivalent to an insurers cover note

4. MacMan Inc. employs several salespersons who travel throughout Canada with samples of its products.
Which type of coverage does MacMan Inc. require to protect its samples while in the salespersons' possession?

A) Accident Insurance
B) Aviation Insurance
C) Personal Property Floater
D) Commercial Property Floater

5. What is stated in the insuring agreements of a policy?

A) Lienholder
B) Description of the property covered
C) Premium
D) Signature clause

Solutions: