Question 1

An insurance broker is:

Accepted Answer

A) an employee of an insurance company. 
B) an employee of the insured. 
C) an agent of an insurance company. 
D) an independent adviser. 
A) an employee of an insurance company. 
B) an employee of the insured. 
C) an agent of an insurance company. 
D) an independent adviser.

Question 2

List the duties of an insurance agent or insurance broker.

Accepted Answer

The duties of an insurance agent or insu

Question 3

Which of the following is NOT an example of general insurance?

Accepted Answer

A) Credit insurance. 
B) Motor vehicle insurance. 
C) Life insurance. 
D) Professional indemnity. 
A) Credit insurance. 
B) Motor vehicle insurance. 
C) Life insurance. 
D) Professional indemnity.

Question 4

Before an insured party can place a claim on their policy,they must prove:

Accepted Answer

A) they have suffered a loss because of the damage to or destruction of the property insured. 
B) they have an insurable interest in the property insured. 
C) they have either a legal or an equitable interest in the property insured. 
D) they are the owner of the property insured. 
A) they have suffered a loss because of the damage to or destruction of the property insured. 
B) they have an insurable interest in the property insured. 
C) they have either a legal or an equitable interest in the property insured. 
D) they are the owner of the property insured.

Question 5

In what circumstances can an insurer cancel an insurance policy?

Accepted Answer

A) If the insured has breached their duty of good faith. 
B) If the insured has breached a term of the contract. 
C) If the insured has made a fraudulent claim. 
D) All of the above. 
A) If the insured has breached their duty of good faith. 
B) If the insured has breached a term of the contract. 
C) If the insured has made a fraudulent claim. 
D) All of the above.

Question 6

Which of the following is an example of an insurable interest?

Accepted Answer

A) Mortgagees and mortgagors. 
B) Landlords and tenants. 
C) A creditor against a debtor's insolvency. 
D) All of the above. 
A) Mortgagees and mortgagors. 
B) Landlords and tenants. 
C) A creditor against a debtor's insolvency. 
D) All of the above.

Question 7

The onus of proving that all material facts have been disclosed rests with the insured.

Accepted Answer

A) True 
 B)False

Question 8

How does an insurance contract differ from an ordinary business contract?

Accepted Answer

A) There is uncertainty that could result in either a gain or a loss. 
B) Both parties believe that the contractual price and the value of the contractual goods are equivalent. 
C) The insured will receive a sum of money on the occurrence of an event which must occur at some time,although the time of the occurrence is uncertain. 
D) One party knows that they are paying a price far less than the value provided by the other party and that the other party will only have to perform if certain conditions are met. 
A) There is uncertainty that could result in either a gain or a loss. 
B) Both parties believe that the contractual price and the value of the contractual goods are equivalent. 
C) The insured will receive a sum of money on the occurrence of an event which must occur at some time,although the time of the occurrence is uncertain. 
D) One party knows that they are paying a price far less than the value provided by the other party and that the other party will only have to perform if certain conditions are met.

Question 9

In the case of goods insured at market value,their value is assessed:

Accepted Answer

A) at the date the goods were lost or destroyed. 
B) at the date the goods were purchased. 
C) at the date of the claim. 
D) at the date the contract of insurance commenced. 
A) at the date the goods were lost or destroyed. 
B) at the date the goods were purchased. 
C) at the date of the claim. 
D) at the date the contract of insurance commenced.

Question 10

Insurable interest means that the insured must suffer a pecuniary or financial loss.

Accepted Answer

A) True 
 B)False

Exam 23: Insurance

An insurance broker is:

List the duties of an insurance agent or insurance broker.

Which of the following is NOT an example of general insurance?

Before an insured party can place a claim on their policy,they must prove:

In what circumstances can an insurer cancel an insurance policy?

Which of the following is an example of an insurable interest?

The onus of proving that all material facts have been disclosed rests with the insured.

How does an insurance contract differ from an ordinary business contract?

In the case of goods insured at market value,their value is assessed:

Insurable interest means that the insured must suffer a pecuniary or financial loss.

Legal Foundations

Legal Systems

How Law Is Made: Precedentstatute Law

Civil Liability: the Law of Torts and Negligence

Applications of Negligence to Business

Introduction to Contracts

Agreement Between the Parties

Intention to Create Legal Relations

Consideration

Capacity of the Parties

Genuine Consent

Is the Contract Legal

Terms of the Contract

Rights and Liabilities of the Parties,discharge and Remedies

Remedies in Contract

Statutory Consumer Guarantees and the Australian Consumer Law

General and Specific Consumer Protections Under the Acl

Introduction to Companies and Incorporated Associations

Agency

Partnerships

Choosing a Business Entity

Other Business-Related Torts

Sale of Goodsbusiness to Business

Property and Mortgages

Intellectual Property

Ethics and Business Practice

Criminal Law in a Business Context

Competition Law

Insolvency and Debt Recovery

The Work Environment and the Employment Relationship

Filters