CAIB 2 EXAM BUNDLE WITH COMPLETE SOLUTIONS SOLVED 100%

The three amounts to be considered when calculating the amount of payment as outlined in the Indemnity Agreement are: - ANSWER-1) the value of the lost or damaged property (ACV) 2) the interest of the insured in the property (ex. financial interest, home, mortgage) 3) the amount of insurance s...

Define Loading - ANSWER-Additional rate charged over and above the fire rate. Define common carrier - ANSWER-Includes airline, railroads, trucking companies, and others that furnish transportation to any member of the public seeking their services. Define "Bailee for Hire" - ANSWER-One who h...

warranty -ANSWER- A promise that certain facts are as they are represented to be and that they will remain so hazard -ANSWER- A condition which may cause a peril to occur Latent defect -ANSWER- A hidden or concealed defect, which cannot be discovered by reasonable and customary inspection E...

A proposal for insurance that's presented to the underwriter for consideration. It can include an application, and additional verbal and written information (i.e., previous policy premium, loss details and history, financial statements and photos). - ANSWER-"Submission." 1) Assists to identify...

Only the property specifically listed or scheduled on the policy is insured. - ANSWER-Scheduled coverage. Building, Stock and Equipment are insured under a single limit of insurance. - ANSWER-Property of Every Description (POED) coverage. All property owned by the insured is covered or "blank...

Define Endorsement. - ANSWER-Endorsements change terms of existing policies Define Rider. - ANSWER-Riders add coverages to those all ready on policy Indicate Covered or Not Covered on Sign Form (C/NC) a) mechanical breakdown b) damage caused by power surge c) damage caused when dropped du...

ANSWER- The three amounts to be considered when calculating the amount of payment as outlined in the Indemnity Agreement are: ANSWER- 1) the value of the lost or damaged property (ACV) 2) the interest of the insured in the property (ex. financial interest, home, mortgage) 3) the amount of ...

Identify the company which assumes the greatest portion of an account - ANSWER-Lead Company What is re-insurance - ANSWER-an insurance company 'ceding' part of the risk to a re-insurer What are three considerations used when determining amounts of indemnity? - ANSWER-i) Actual Cash Value of ...

What are 2 examples of temporary locations where property maybe located and insured by temporary location coverage? - ANSWER-1) When at customers premises on a pre-sale trial basis 2) When at warehouse awaiting pickup by client What are 3 coverages found in EDP Policies? - ANSWER-1) Loss to data...

identify three reasons why a bailee may have temporary custody of the personal property of another - ANSWER-for repair for safekeeping or storage for delivery to others identify three examples of businesses who may be bailees for hire - ANSWER-small engine repair shops dry cleaners ta...

replacement value -ANSWER- Cost to repair, replace or rebuild the lost or damaged property without deduction for depreciation Scheduled Coverage -ANSWER- Coverage for property specifically identified or scheduled on the insurance policy All Property -ANSWER- All property owned by Insured is co...

1. Residential (homes) 2. Mercantile (hospital) 3. Non-mercantile (stores) 4. Manufacturing/industrial (manufacturing plants) - ANSWERIdentify 4 categories that buildings may fall into and give an example of each 1. Scheduled basis 2. All property basis - ANSWERIdentify two bases that coverag...

What are three types of property normally excluded or receive limited coverage on commercial property insurance policies? - ANSWER-i) Money ii) Furs iii) Jewellery List and explain the four areas addressed by Commercial Crime policies. - ANSWER-i) Property covered Explanation: This section of...

1. Is perceived as being too technical 2. Reluctance of insured to reveal earnings 3. Lack of consumer knowledge -ANSWER- Identify three reasons or obstacles to selling business interruption instance 1. Physical damage to property 2. Failure or breakdown of public utilities 3. Transportatio...