This set of questions, courtesy of online CII training package Insurance Assess, will test your knowledge of topics. Answers are at the bottom
The Motor Insurance Anti-Fraud and Theft Register is a database used by insurers for which types of motor losses?
A. Multiple collisions
B. All motor accidents
C. Motor accidents involving injuries
D. Thefts and total losses
Why was the Fraud Act 2006 important to the insurance industry?
A. Prior to the Fraud Act, there was no single offence of fraud
B.Prior to the Fraud Act, there was no definition of insurance fraud
C. There are now eight different areas in which to prosecute for fraud
D. The Fraud Act classes fraud as theft
Which one of these statements describes the term 'immaterial fraud'?
A. Claimant submits a forged receipt for a genuine loss to the correct value of the lost item
B. Claimant submits a forged receipt for a fictitious loss to the correct value of the lost item
C. Claimant submits a genuine receipt for a fictitious loss to the correct value of the lost item
D. Claimant submits a forged receipt for a genuine loss to the incorrect value of the lost item
The definition of cybercrime includes the funding of what type of criminal offence?
Choose all that apply.
B. Money laundering
C. Drug trafficking
Which of these liabilities do products liability policies usually cover?
A. Only liability arising out of products produced during the period of insurance
B. Only liability arising out of claims made during the period of insurance
C. Only liability arising out of products recalled during the period of insurance
D. Only liability arising out of events happening during the period of insurance
Which of these losses would fall under the future loss head of claim?
A. Care costs from the date of accident to date of settlement
B. Loss of earnings after the date of settlement
C. Awards for pain, suffering and loss of amenity
D. Initial adaptation of house
Which of these items might be considered 'target goods' by insurers?
B. General foodstuffs
C. Mobile telephones
D. Standard building materials
Which of these is the usual basis of rating for an employers' liability policy?
B. Gross profit
C. Net profit
Which of these statements best describes the role of loss adjusters?
A. Independent organisations to whom claims investigation is often outsourced by insurers
B. Part of the insurance company that investigates the claims it receives
C. Representatives and advocates of the policyholder in the event of a claim
D. The means by which insurers are able to ensure that they are able to minimise their claims outlay
Is it possible to cover business property on a business travel policy?
A. No, the risk of the business property is viewed as a commercial risk
B. No, this would have to be insured on a material damage policy
C. Yes, providing the value is less than £500
D. Yes, this can be a separate item or part of the property section
1D. The Motor Insurance Anti-Fraud and Theft Register is a database used by insurers for theft and total loss claims.
2A. Prior to the Fraud Act 2006, there was no single offence of fraud. Fraud is now a criminal offence.
3A. The term 'immaterial fraud' relates to the situation where the claimant submits a forged receipt for a genuine loss to the correct value of the lost item.
4A. B, C, D. All of these are cyber crimes if they are committed using a computer, computer network or the internet.
5D. Products liability policies cover injury or damage that happens during the period of insurance.
6B. Losses that are likely to continue after the date of settlement are called future losses.
7C. Insurers associate a higher risk of theft with goods that tend to hold a relatively high value, are small, light and portable and can be easily resold by a thief.
8D. It is usual for employers' liability insurers to use the payroll of a company as the basis of their rating.
9A. Insurers will use the services of loss adjusters to investigate larger or more complex claims on their behalf.
10D. Business policies will include business property either as a separate item or as part of the property section.