2023 Easily pass IF1 Exam with our Dumps & PDF Test Engine
IF1 PDF Pass Leader, IF1 Latest Real Test
NEW QUESTION # 33
Peter currently has no penalty points on his driving licence, although he was convicted of a minor motoring offence eight years ago. Why does Peter NOT need to disclose this to his motor insurer?
- A. It represents a moral hazard.
- B. It is information that would not influence an underwriter.
- C. It is a spent conviction.
- D. It represents a physical hazard.
Answer: C
NEW QUESTION # 34
If a proposer has failed to fully answer a question on a proposal form, the insurer is deemed to have waived its rights to this information because it
- A. did not request further information.
- B. does not have the right to ask the proposer for more information.
- C. has statistics on similar risks.
- D. should be able to underwrite the risk based on the information already provided.
Answer: A
NEW QUESTION # 35
What is the legal standing of the Charioted Insurance Institute's Code of Ethics?
- A. It does not have the force of law.
- B. It has full stand-alone legal recognition.
- C. It has full force of Jaw except where overridden by pre-existing Acts.
- D. It is to be applied in conjunction with existing Acts.
Answer: A
NEW QUESTION # 36
The requirement 10 notify the fitting of a more powerful engine under a motor insurance policy is an example of a policy wording modifying the principle of
- A. indemnity.
- B. good faith.
- C. contribution.
- D. subrogation.
Answer: B
NEW QUESTION # 37
In a chain of events, the proximate cause of a loss is always the
- A. only event which is not excluded by the terms of the policy.
- B. last event before the loss occurs.
- C. dominant event leading to the loss.
- D. only event contributing towards the loss.
Answer: C
NEW QUESTION # 38
Self-insurance arises when a
- A. company decides to set aside a fund to pay losses that may occur.
- B. number of insurers agree to collectively insure a particular risk in agreed proportions.
- C. policyholder decides to insure proportions of his property with different insurers.
- D. policyholder finds that he has inadvertently taken out more than one policy covering the same risk.
Answer: A
NEW QUESTION # 39
What is the basis of settlement under a new for old insurance policy if a television is stolen?
- A. The replacement cost in full.
- B. The replacement cost, less wear and tear.
- C. The original cost, less wear and tear.
- D. The original cost in full.
Answer: B
NEW QUESTION # 40
When an insurer is aware that the total value of stock is more than the sum insured and issues a policy on this basis, this is known as
- A. a real statement.
- B. a first loss policy.
- C. an indemnity policy.
- D. a new for old policy.
Answer: B
NEW QUESTION # 41
A retail customer CANNOT buy insurance directly from which type of insurer?
- A. A mutual insurer.
- B. A composite insurer.
- C. A captive insurer.
- D. A direct insurer.
Answer: C
NEW QUESTION # 42
A risk that is always insurable is a
- A. capital risk.
- B. speculative risk.
- C. fundamental risk.
- D. pure risk.
Answer: D
NEW QUESTION # 43
When Susan applied for a new household contents insurance policy, she was obliged to disclose her extensive claims history. Such details are normally known as
- A. indemnity.
- B. contractual terms.
- C. material circumstances.
- D. warranties.
Answer: C
NEW QUESTION # 44
An agent, acting outside the terms of her agency agreement, binds her principal to a contract with a third party who has reason to believe that the agent can act in that capacity. On what basis, if al all, is the principal bound by the agent's actions?
- A. Apparent authority.
- B. Necessity.
- C. Consent.
- D. Not at all.
Answer: A
NEW QUESTION # 45
A firm of insurance brokers invite Stuart. an underwriter who handles its account, on a Caribbean cruise with his family. How should Stuart react to this invitation in order to comply with the Chartered Insurance Institute's Code of Ethics?
- A. Decline as this is against the Financial Ombudsman Service regulations.
- B. Accept on the basis that this is an accepted business practice.
- C. Decline to avoid any suggestion he is being compromised.
- D. Accept only on the basis that the cost is less than £1.000.
Answer: C
NEW QUESTION # 46
The purpose of Insurance Premium Tax is to
- A. reimburse for claims of insolvent insurers
- B. raise revenue for the Government.
- C. pay for flood defences.
- D. fund the Association of British Insurers.
Answer: B
NEW QUESTION # 47
The Financial Ombudsman Service will make a ruling on a dispute between
- A. an insurer and a reinsurer.
- B. a third party and the insurer against whom he is making a liability claim.
- C. an insurance broker and an insurer.
- D. a private individual and an insurer.
Answer: D
NEW QUESTION # 48
If a firm is said to be risk averse, this means that it
- A. carries its own risk wherever possible.
- B. arranges insurance protection wherever possible.
- C. tenders its insurance needs to the market.
- D. undertakes its own risk management research.
Answer: A
NEW QUESTION # 49
Bye-laws are passed at the Lloyd's Market by the
- A. Lloyd's Market Association.
- B. Lloyds Managing Agent.
- C. Corporation of Lloyd's.
- D. Council of Lloyd's.
Answer: D
NEW QUESTION # 50
If an insurer invokes the cancellation clause to cancel a policy mid-year due to a change in the risk, how much of the premium, if anything, is normally returned to the policyholder?
- A. None of the premium.
- B. The full year's premium less a fixed nominal charge.
- C. A pro rata amount.
- D. The full year's premium.
Answer: B
NEW QUESTION # 51
Under the Insurance: Conduct of Business sourcebook (ICOBS) on product disclosure, what information about the claims-handling process must an intermediary provide to a consumer?
- A. The contact details of the loss adjuster used by the insurer.
- B. The contact details of the insurer.
- C. The policy number only.
- D. The number of days the settlement should take.
Answer: A
NEW QUESTION # 52
......
IF1 Dumps Ensure Your Passing: https://www.topexamcollection.com/IF1-vce-collection.html
Valid IF1 Test Answers & IF1 Exam PDF: https://drive.google.com/open?id=1Nx5_kCj13qYxagyQ4tGYrStuECRB-4AK
