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IIC Advanced Skills for the Insurance Broker and Agent Sample Questions:

1. Helen, an agent for a marine insurer, is reviewing the renewal policy of her freight forwarding account. The firm has just expanded its operations to include United States exposure. Helen advises that a modification will be needed on both the current policy term and the renewal policy term. What is her reasoning to perform changes on both terms?

A) If the firm has a claim in the United States, the insurer may deny coverage.
B) As the firm has expanded its area of exposure, a new policy will be required, and the renewal policy must be rescinded.
C) As the firm did not advise the insurer in advance, the insurer can void coverage for misrepresentation.
D) If the firm is importing and exporting American goods, the brokerage must attach a tariff disclaimer document to the policies.


2. Why is bylaws insurance used?

A) To protect wooded lots in the country
B) To protect new buildings that comply with the latest building codes
C) To cover projects that can take years to complete
D) To cover vacant lots


3. A real estate investment trust is a long-term client of Best Brokerage. The REIT intends to tear down one unused warehouse and build an apartment in its place. The risk manager requests insurance coverage for the project, wants to avoid a significant increase in premium, and does not want to include cost overruns.
a) Briefly discuss how the limits of insurance of this project will be determined, and what type of costs are included in the limit.
b) Should the risk manager exclude cost overruns from the limit of insurance? Explain your answer.


4. Alberta Trucking Company frequently transports material back and forth from Canada to the United States. It employs over forty truckers, who, upon hiring, have criminal and reference checks completed. A trucker, transporting general freight, has recently been stopped at the border by a United States customs agent, who refuses to let him through. What is the likely reason for the custom agent's refusal?

A) The trucking company did not follow the guidelines when arranging the filing.
B) The trucker did not register for an International driver's licence.
C) The truck is not displaying the trucker's medical or criminal check certificates.
D) The truck is not insured for the minimum $200,000 limit required in the United States.


5. Annette, a new broker, is completing a wrap-up liability insurance application for a condominium development. Before finalizing the application, she asks a coworker to review it. Her coworker advises Annette that she has missed an important detail. What detail did Annette likely miss?

A) The application must include information about the construction of the parking garage.
B) The project owner must provide evidence of separate liability coverage to qualify for the policy.
C) The architect needs to be named as the primary insured on the policy.
D) The application needs to list all condominium developments currently under construction by the general contractor.


Solutions:

Question # 1
Answer: A
Question # 2
Answer: C
Question # 3
Answer: Only visible for members
Question # 4
Answer: A
Question # 5
Answer: A

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These C131 training dumps are really accurate. Almost all questions in the exam I took were shown up. Only with these C131 exam questions, i managed to pass.

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