General Insurance and Industry Knowledge
RIBO By-Law No. 3 outlines the requirements relating to the application for a certificate of registration and information changes. Which change MUST be reported to RIBO?
A change in employment from one brokerage to another.
When a customer asks a broker for a quote on their vehicle, a broker must quote:
all insurers the brokerage has contacts with
Your insured decides to install a recreation room in the basement of the house. Which statement would BEST describe the coverage under the insured's Homeowners Comprehensive Policy?
It will not affect coverage under the policy.
Which of the following forms is most commonly used in today’s commercial package policies?
Broad Form
Under the Canada Health Act, OHIP is not obligated to paid for:
Emergency medial care when an Ontario resident travels outside of Canada.
A local automobile dealer offers to pass leads to you as a registered insurance broker when cars are sold to customers who require automobile insurance. In return, the customer wants the premium for their spouse’s car automobile insurance to be reduced. How would you respond to this request?
Under RIBO regulations, I am prohibited from paying a finder’s fee to a person who is not licenced or registered as a general insurance intermediary or who is not listed under Ontario Regulation 991, Section 15 (12).
All clients should be counselled regarding the availability of enhancement options available under Ontario Automobile Policy (O.A.P. 1) Owner's Policy. Which is an available enhancement?
Caregiver Benefit available for all injuries.
Which amount MUST be established when there is a co-insurance clause in a replacement cost policy?
The replacement cost of the property.
A large multi-national manufacturer request a property insurance policy. To secure adequate spread of risk among insures the policy issued is a:
Subscription.
Which of the following criteria is not needed to meet the Ontario residency requirement to maintain OHIP coverage?
the resident must be born in Ontario.
Which type of insurance policy does NOT contain Statutory Conditions?
Commercial general liability policy.
Which statement BEST describes the status of a driver of an automobile who is insured under Workers’ Compensation and is injured in an accident?
The driver may choose to sue the person liable for the accident instead of applying for Workers’ Compensation benefits.
The "Freezer Foods Coverage" in a Comprehensive Tenant Package Policy covers spoilage of the contents of a food freezer unit caused by a change in temperature, subject to all of the following conditions EXCEPT which one (1)?
The freezer's electrical power plug is accidentally pulled out from its wall plug.
The commercial property Broad Form wording excludes loss or damage for certain types of property. Which of the following types of property is not excluded under the Broad Form?
Watercraft held for sale (and therefor considered to be stock)
What type of policy is suitable for a person who take several short-term trips in a one year period for business or for pleasure?
A frequent traveller policy.
Every insurance policy provides for termination of a policy by either the insurer or by the insured. When will cancellation take effect if the insured person wishes to cancel a policy?
On the date the policy or Lost Policy Voucher is signed off by the insured.
Income Replacement Benefits under “Section 4 – Accident Benefits Coverage” of O.A.P. 1 Owner’s Policy are available to ONLY which claimant, as of the date of accident?
An insured laid- off work who has a written contract that was made before the accident to start a new job within one (1) year.
Which liability coverage is intended to protect an insured who is planning to build a new home and will be sub-letting part of the work to subcontractors?
Contractor's protective liability insurance.
Yuusef operates a convenience store in a building he owns. Thieves broke the window and caused a great deal of damage inside. Repairs are expected to take three weeks. The claims adjuster advised Yuusef to move his stock and equipment to a storage facility to protect it from further damage. Which commercial property extension pays for these costs?
Removal
OHIP coverage is cancelled if the Ontario resident is:
Hint answer in days
out of ontario for more than 212 days
One (1) of three (3) tenants in your insured’s rented triplex, sets fire to his apartment, is charged with arson and jailed. Next day the tenant’s wife bails out her husband who allegedly set the fire and they return to live in the damaged apartment. The insurance company wishes to retire from this risk as soon as possible. What procedure MUST the insurer follow to legally cancel the policy?
Insurer can cancel in five (5) days by written notice of termination personally delivered and any return premium paid to insured.
While on vacation in the U.S.A. your insured’s Cadillac is damaged in an accident with a Georgia registered automobile, insured for minimum limits of $15,000/$30,000 Bodily Injury, and $10,000 Property Damage Liability. The Georgia driver is hundred percent (100%) liable for $20,000 damage to your insured’s automobile. Your insured has an O.A.P. 1 Owner’s Policy including Direct Compensation-Property Damage with standard deductible, OPCF 44R-Family Protection Coverage but no Collision insurance. How would the claim be paid?
While on vacation in the U.S.A. your insured’s Cadillac is damaged in an accident with a Georgia registered automobile, insured for minimum limits of $15,000/$30,000 Bodily Injury, and $10,000 Property Damage Liability. The Georgia driver is hundred percent (100%) liable for $20,000 damage to your insured’s automobile. Your insured has an O.A.P. 1 Owner’s Policy including Direct Compensation-Property Damage with standard deductible, OPCF 44R-Family Protection Coverage but no Collision insurance. How would the claim be paid?
Nothing under the OPCF 44R and $10,000 under the Georgia policy.
A building worth $100,000 is insured for $60,000 under a policy with a ninety percent (90%) co- insurance clause. Fire damages the building to the extent of $93,000. How much would the insurer pay?
$60,000
Most commercial automobile policies are written on what basis?
Scheduled.
George is an Ontario resident requiring kidney dialysis three times weekly. Otherwise, his general health condition is good and has been stable for two years. He travels to Alberta to visit is sister but experiences a serious heart attack while in Alberta and must be flown home via a private medical airplane and accompanied by a doctor. Which of the following will pay for the cost of this flight?
A THI policy, if he purchased on before leaving home.