Changing the Concept of IF1 Exam Preparation 2023 [Q17-Q32]

Q17. Which general rule does the Contracts (Rights of Third Parties) Act 1999 seek to modify?

Q18. A risk that is always insurable is a

Q19. What is the principal reason for which a proposer is asked by the insurer whether his car will be driven by anyone else?

Q20. Which distribution channel for household insurance is typically characterised by high advertising and promotional costs, with no payment of commission?

Q21. Who can place business directly with a Lloyd’s underwriter?

Q22. A Terms of Business Agreement between an insurer and an intermediary sets out the

Q23. A loss adjuster normally acts on behalf of the

Q24. If a firm is said to be risk averse, this means that it

Q25. A storm blew down the wall of a limber building. The failing wall broke electrical wiring, which short-circuited and the resultant sparks caused a fire. The lire brigade used water to put out the fire and the water caused damage to the unburnt contents. What is the proximate cause of the damage to the unburnt contents?

Q26. What type of organisation is the British Insurance Brokers’ Association?

Q27. The capital requirements of insurers and intermediaries are set out by

Q28. The main purpose of the fair treatment of customers initiative is to

Q29. An owner of a building reduces its sum insured from £1,000.000 lo £500.000 to save premiums. A Tire causes
£300,000 damage to the building. If the building has a reinstatement value of £750,000 and average is applied, how much will the insured receive in settlement?

Q30. How would an employee benefit directly from her employer’s business interruption insurance if its factory was forced to close temporarily due to flood damage?

Q31. What type of reduction is sometimes applied to the replacement cost of an item under an insurance policy claim in order to reflect the application of indemnity?

Q32. For which professional is professional indemnity insurance compulsory by statute?