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. Busine...
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. Business Interruption - ANSWERB. Equipment
While the law permits the insurer to surrogate against the party responsible for the loss, the insurer
agrees not to exercise that right in respect to certain parties under the policy. Which of the following
parties would be surrogates agains in the event of their responsibility?
A. insureds business partner
B. Mortgagee
C. Parents who provide financing
D. Independent contractor - ANSWERD. Independent contractor
The commercial building, equipment and stock (broad form policy) insures all of the following
except:
A. Theft or attempted theft
B. Rupture of freezing
C. Collapse
D. Mysterious disappearance - ANSWERD. Mysterious disappearance
,Under a commercial property insurance policy, which of the following would be considered
equipment?
A. Photocopier leased from ideal copiers
B. Advertising brochures promoting next months end sales
C. Customers shoes kept on premises overnight for repair
D. Shoes held on consignment - ANSWERA. Photocopier leased from ideal copiers
The consequential loss assumption clauses is defined to insured:
A. Damage caused to refrigerator or cooling equipment
B. Damage caused by freezing due to power failure
C. Loss to stock due to loss of temperature
D. Contamination of stock due to rupture of supply piping - ANSWERC. Loss to stock due to loss of
temperature
The coverages provided by the coverages provided by the contractors equipment floater would
insured which of the following losses?
A. Damage caused to front end loader due to freezing
B. Cracking of engine block on caterpillar due to freezing
C. Fire damage to contractors plans, blueprints, design or specifications
D. Sinking of caterpillar while operating over muskeg - ANSWERA. Damage caused to front end loader
due to freezing
The insurance industry relies on the classifications developed by the following body when
determining the appropriateness of the protection provided to property by safes,vaults and other:
A. IAO
B. ULC
C. IBC
D. Canada Safety Council - ANSWERB. ULC
All of the following statements except one are true when the insureds business has been interrupted
by order of civil authority. Pick the exception:
A. Insured's building must have suffered physical damage
B. Coverage is limited to a maximum of two weeks
, C. Insured is entitled to recover lost income even through there has been no actual damage to the
insured property
D. Order must have been given as a direct result of damage to neighbouring premises by a peril
insured against on the insureds own premises - ANSWERA. Insureds business must have suffered
physical damage
Accommodation business is best described as:
A. A specialized type of insurance risk which included hotels, motels, apartment buildings and rental
property
B. A risk which can be insured only under a subscription policy
C. A risk which is substandard or marginal, but which, because of its relationship with the broker, the
insurer agrees to to underwrite
D. A risk which is normally acceptable to the insurer but which cannot be bound by the broker
without the insurers consent - ANSWERC. A risk which is substandard or marginal, but which,
because of its relationship with the broker, the insurer agrees to underwrite
The accounts receivable form would not provide payment for:
A. Penalties charged the insured by suppliers for late payment of account
B. Sum charged by insureds accountant to reconstruct lost records
C. Sums charged by collector agency to collect amounts due to insured
D. Sums due from customers which the insured is unable to collect asa direct result of the loss of
records - ANSWERA. Penalties charged by the insured by suppliers for late payment on the account
The safe burglary rider would insure one of the following losses:
A. Money taken from locked cash drawer
B. Money and securities taken from an unlocked safe
C. Money and securities taken from a locked safe by the burglar who knew its combination
D. Removal of the safe from the premises - ANSWERD. Removal of the safe from the premises
The coverages provided by the contractors equipment floater would insure which of the following
losses:
A. Damage caused to the front end loader due to its falling off the trailer being used to transport it to
the job site
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