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| Section | Objectives |
|---|
| Agency Law | - Creation and authority of agents
- 1. Actual and apparent authority
- 2. Duties of agents and principals
|
| Legal System and Sources of Law | - Structure of the legal system
- 1. Courts and hierarchy
- 2. Civil vs criminal law distinctions
- Sources of law
- 1. Statute law and regulations
- 2. Common law and equity
|
| Liability and Tort | - Negligence and duty of care
- 1. Breach and causation
- 2. Remedies and damages
- Employer and public liability
- 1. Occupiers’ liability
- 2. Vicarious liability
|
| Contract Law and Insurance Contracts | - Insurance-specific principles
- 1. Insurable interest
- 2. Utmost good faith (uberrimae fidei)
- Formation of contracts
- 1. Offer and acceptance
- 2. Consideration and intention
|
| Insurance Claims and Legal Principles | - Claims handling principles
- 1. Subrogation and contribution
- 2. Indemnity principle
|
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Vce M05 Free - M05 Latest Mock Test
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CII Insurance law (IL) Exam Sample Questions (Q58-Q63):
NEW QUESTION # 58
Tim is a local insurance broker. He has authority to receive premiums for a personal lines insurer and earns commission from the insurer for sales. Paul, an elderly customer, asked Tim for advice regarding his personal insurance requirements and to assist with completing the proposal form for household insurance. In these circumstances, who, if anyone, is Tim's principal?
- A. No one as Tim is not a party to the insurance contract.
- B. Both the insurer and Paul at different times.
- C. The insurer at all times.
- D. Paul as it is a consumer contract.
Answer: C
NEW QUESTION # 59
Adam was bitten by a stray dog in Africa. He washed his wound in a pond and a week later he became very ill with a high temperature. Initially, the local hospital treated him for malaria and later treated him for the fever following the dog bite. Adam died in hospital. What is the proximate cause of his death?
- A. The unhygienic washing of the dog bite.
- B. The original physical injury of the dog bite.
- C. The delay in seeking medical treatment.
- D. The delay in obtaining the correct medical treatment.
Answer: B
NEW QUESTION # 60
When completing a proposal form, Tom declares that he has two spent speeding convictions. How, if at all, will the spent convictions affect an underwriter's decision to write the risk?
- A. They will be ignored in accordance with the provisions of the Rehabilitation of Offenders Act 1974.
- B. They will only be considered if Tom had a further speeding conviction in the last 12 months.
- C. They will not be considered as this is not an underwriting factor in motor insurance risk assessment.
- D. They will be classed as relevant information and will affect the premium.
Answer: A
NEW QUESTION # 61
Which of the following terms in an insurance policy is typically enforceable in a court of law?
- A. Exclusions
- B. Representations
- C. Warranties
- D. Conditions precedent
Answer: C
Explanation:
Warrantiesare conditions in the insurance contract that are considered to be fundamental and must be strictly adhered to. A breach of warranty can result in the insurer being able to avoid liability. Representations are made by the insured but are not legally binding in the same way.
NEW QUESTION # 62
What is the most common for of corporation?
- A. Registered corporation.
- B. Statutory corporation.
- C. Chartered corporation.
- D. Corporation sole.
Answer: A
NEW QUESTION # 63
......
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