CAIB 3 Chapter 2 exam 2023/2024 with 100% correct answers

Identify the five mounting losses of liability insurers of the 1980's - correct answer 1. Disproportionately high court awards in the USA 2. Environmental Disasters 3. Aviation Disasters 4. Inadequate assessment of potentially dangerous risks 5. Latent bodily injury claims Identify the five sections of the IBC 2100 - correct answer 1. Coverages (A,B,C,D) 2. Who is an insured 3. Limits of insurance 4. Commercial General Liability conditions 5. Definitions Identify the four coverages of Section 1 of the IBC 2100 - correct answer A. Bodily injury & Property Damage Liability B. Personal Injury & Advertising injury Liability C. Medical Payments D. Tenants Legal Liability Identify the eight key features of Insuring Agreement 1 - correct answer 1. Coverage provided for bodily injury and property damage only 2. Payment made only for 'those sums that the insured becomes legally obligated to pay' 3. Insurer liable for payment of compensatory damages only 4. Coverage is provided only for losses which occur during the policy period 5. Injury or damage must be caused by an occurrence 6. Loss or damage must take place in the coverage territory 7. Insurer's right and duty to defend any action 8. Insurer reserves the right to a) investigate any claim and b) settle any claim or action as its discretion Identify the three terms contained in the definition of Bodily Injury - correct answer 1. Bodily Injury 2. Sickness or disease 3. Death Explain the two key coverages included under the definition of Property Damage - correct answer 1. Physical injury to tangible property, including all resulting loss of use of that property 2. Loss of use of tangible property that is not physically damaged Identify who decides 'those sums that the insured becomes legally obligated to pay' - correct answer The courts Identify the three types of liability that may be faced by business owners - correct answer 1. Tort Liability 2. C