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THE BIG TEN

THE BIG TEN

This set of questions, courtesy of online CII training package Insurance Assess, will test your knowledge of topics. Answers are at the bottom

Answers are at the bottom

Question 1

When will business interruption insurers pay for losses under a customer’s extension?

A. If damage has occurred at the insured’s premises
B. If the insured has arranged material damage cover on the customer’s premises
C. If damage has occurred at a customer’s premises
D. If the supplier has arranged material damage cover at the insured’s premises

Question 2

By which of these means are aviation personal accident risks normally rated?

A. As a rate percent on the capital sum insured
B. As a rate percent on the medical expenses limit
C. Depending on the amount of flying per week
D. With an in full premium based on the insured person’s age

Question 3

In respect of marine insurance, what is meant by the term ‘barratry’?
A. It means contact with a pier
B. It is a term used for a vessel running aground
C. It means a wilful act by the master or crew
D. It refers to collision of the insured vessel with another vessel

Question 4 

Which of these buildings is the most likely to be listed?

A. A church built in 1950 now converted into a home
B. A farmhouse built in 1670 with original features
C. A modernised Georgian property originally built in 1780
D. A terraced house built in 1845

Question 5

Which of these losses would be covered by a typical classic car policy?

A. War
B. Riot
C. Civil commotion
D. Rebellion

Question 6

Why is an annual travel insurance policy unsuitable for long-term overseas residents?

A. Because annual travel insurance would be too expensive for long-term stay
B. Because annual travel policies usually cover only UK and European travel
C. Because the minimum duration of each trip covered under an annual policy is usually around 30 days
D. Because the maximum duration of each trip covered under an annual policy is limited, usually to around 30 days

Question 7

Which of these office working environments, according to a 2018 survey, was shown to be more likely to cause an office worker to feel anxious or stressed because of work?

A. Cubicle style
B. Open plan
C. Private office
D. Working from home

Question 8

In respect of business interruption insurance, what is the main role of an underwriter?

A. Making decisions on acceptance and terms
B. Designing policy wordings
C. Maintaining and servicing existing business
D. Handling claims

Question 9

Political violence insurance covers which of these risks?

A. War between the ‘five great powers’
B. Causes of loss normally excluded from property insurance
C. Loss arising from fire
D. Only political terrorism

Question 10

What consumer protection applies to yacht and small craft insurance?

A. FCA rules do not apply to marine insurance
B. The Marine Insurance Act overrides consumer protection
C. The various Merchant Shipping Acts provide consumer protection
D. Yacht and small craft insurance policyholders have the same consumer protection as all other insurance policyholders


ANSWERS

1C. If damage has occurred at a customer’s premises then the policyholder’s turnover and profit can be adversely affected.

2A. Aviation personal accident risks are normally rated as a rate on the capital sum insured.

3C. Institute Time Clauses – Hulls, clause 6.2 extends cover to include loss or damage caused by any of barratry, which means wilful acts by the master or the crew.

4B. The older and more uncommon a building, the more likely it is to be listed.

5B. Riot damage is covered by a typical classic car policy.

6D. The maximum duration provided by an annual policy is usually 30 days.

7A. Employees in office environments are more likely to feel anxious or stressed because of work compared to those working from home.

8A. Some underwriters will undertake duties such as designing policy wordings, but their main role is risk assessment.

9B. Political violence insurance provides cover for several classes of event normally excluded in other insurances.

10D. Yachts and small craft insureds have the same consumer protection as all policyholders provided by the FCA and ICOB rules.

 

YOUR SCORE

1–3  Poor

7–8  Very good

4–6  Good

9-10 Excellent

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THE BIG TEN

THE BIG TEN

This set of questions, courtesy of online CII training package Insurance Assess, will test your knowledge of topics. Answers are at the bottom

On what basis do insurers set premium rates?

On what basis do insurers set premium rates?

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