CAIB 3 bundled exams 2024 with 100% complete solutions

What area of law does Criminal Law address? correct answersCriminal law deals with wrongs against society How does criminal law deal with violators? correct answersProsecute them in criminal courts with fines, imprisonment or probation What area of law does civil law or common law address? cor...

warranty correct answersA promise that certain facts are as they are represented to be and that they will remain so hazard correct answersA condition which may cause a peril to occur Latent defect correct answersA hidden or concealed defect, which cannot be discovered by reasonable and customa...

What is the minimum limit of Third Party Liability available in your province? correct answers$200,000 How does an insured show proof of financial responsibility in your province correct answersThe "pink copy" of the certificate of registration Identify the Automobile coverages that are avai...

CH1 - 9. The Law - Identify the two ways that both criminal and civil laws are established correct answersCommon law; Statute law CH1 - 16. The Matter of Damages - Identify any three factors that can impact on the amount of compensatory damages correct answersFinancial Circumstances; Reputation; ...

What are the two approaches to planning? Explain each correct answers1) Top Down Planning - Management provides the mission, strategies, and objectives for the brokerage 2) Bottom Up Planning - Management provides the mission and broad strategies. Leaves the objectives, goals and activities to busi...

Briefly explain the functions of Endorsements correct answersChanges the terms or conditions of the Insured's policy Briefly explain the functions of Riders correct answersAdds additional coverages to those already in place Briefly explain the functions of Separate Policies correct answersEqu...

3 conditions or obligations that insured owed before Replacement Cost Settlement payout is issued ( Payment after, Diligence ,Site ) correct answers1) payment is made after replacement work is completed 2) replacment work must be done in due diligence and dispatch 3) replacement must be at same si...

Define "Risk" correct answersThe chance of a financial loss to which the object of insurance may be exposed to List 3 Categories of Risk correct answers1) Personal 2) Property 3) Liability List 4 Types of Risk Management Techniques correct answers1) Risk Avoidance 2) Risk Retention 3) Risk C...

Your client, a retail fashion store, has just rented a business premises in a mall. Before opening your business, she plans to install new wall to wall carpeting and install wall paneling. These values would be insured under the amount provided for: A. Stock B. Equipment C. Building D. Busines...

Scheduled Coverage Refer to policy on which coverage is provided only on that property which is specifically identified or scheduled Property of Every Description Refers to policy used to insure buildings, stock and equipment under a single limit of insurance Brainpower Read More ...

D. Is primarily concerned with the compensation of victims for their losses correct answersThe following statements respecting the brach of law known as "criminal law" are true except one. Pick the exception: A. Addresses wrongs directed against the state B. Authorities have a duty to prosecute ...

Define Bailee for Hire. correct answersPerson or organization who has temporary custody of the personal property of another for a purpose other than sale and who is compensated as a condition of such custody Identify three types of Bailees and provide an example of each. correct answersi) Repair...

Provide 1 reason why persons should not rely on control of risk as a total solution in eliminating financial loss correct answers-Equipment will not work 100% of the time -certain types of losses such as wind, hail and lightning cannot be effectively controlled People can choose to deal with ris...

Your clients suffered a fire loss totalling $87,555. When making the proof of loss, they claimed $1,500 for a stereo unit which they never owned. In the event that the fraud is discovered by the insurer, what portion of the claim, if any, is required to be paid under policy? correct answersWhen the ...

Identify 4 possible options to deal with Risk , describe each correct answersControl the Risk ( loss control measures) Avoid the Risk ( rent Rather than buy ) Retain the risk ( self insurance or share risk through deductibles) Transfer the Risk ( purchase insurance ) Out of the 4 means of mana...

Insurers are in the business of assuming the financial risks of others which involves entering into a formal contract. A contract is enforceable at law only when all legal elements have been observed. Insurance contracts differ from other formal agreements and are subject to what three additional el...

Consideration is... a. The law of insurance b. A promise between parties c. A contract's binding force d. An exchange of something of value d. An exchange of something of value A stock company is... a. A company that invests in other companies b. A company owned by stockholders who ...

What is the name given to the collection of written decisions? Case Law Explain the concept of the Rule of Precedent. Current court decisions must follow those made in cases having similar circumstances, which allows the development of a logical body of general principles against which spec...

Define the following insurance terms. Bill of Lading correct answersDocuments issued by carriers responsible for transporting or forwarding goods Constructive Total Loss (MARINE INSURANCE) correct answersOccurs when the cost of salvaging the cargo is too high relative to the value saved Worki...

1 ) Owners of your brokerage wish to join an operating affiliation. They want a written report of their options including your options. correct answersSalient Points: - Loosely Knit - General Purpose Groups. - Clusters. - Common Identity Groups. - Services and Support. - Exclusivity. - Fees. ...

What are the similarities between a strategic plan and an action plan? correct answersThey are both critical steps in the success of a brokerage They both flow from the mission statement They both use the same process (top down/bottom up) What are the differences between a strategic plan and ...

Explain what it means to issue insurance on a scheduled basis correct answersOnly the property listed or scheduled on the policy is insured Explain what is meant to issue insurance on the basis of Property of Every Description correct answersBuilding, stock and equipment are insured under a singl...