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| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Legal Principles of Insurance | 20–25% | - Contract law fundamentals - Principle of indemnity - Insurable interest, utmost good faith - Subrogation and contribution |
| Topic 2: Risk Management and Application | 15–20% | - Application of principles to personal and commercial contexts - Ethics and professional conduct - Risk identification, assessment, treatment |
| Topic 3: Insurance Industry Structure and Stakeholders | 15–20% | - Roles: underwriting, claims, reinsurance - Legislation and regulation in Canada - Insurers, intermediaries, regulators |
| Topic 4: Insurance Policy Structure and Provisions | 20–25% | - Endorsements and modifications - Policy components: declarations, insuring agreement, exclusions, conditions - Interpretation of policy wording |
| Topic 5: Introduction to Insurance | 10–15% | - Basic concepts: risk, peril, hazard - Role of insurance in economy and society - Purpose and function of insurance |
Which statement best describes unearned premium?
Correct Answer: C 🗳️
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What is the correct placement of statutory conditions to their respective insurance policy?
Correct Answer: A 🗳️
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What should the broker provide in the broker report?
Correct Answer: A 🗳️
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A commercial brokerage failed to advise the insurer of a client's modified risk. The insurer discovered this only at the time of a major loss and denied the claim due to material change. How will the client MOST LIKELY proceed?
Correct Answer: B 🗳️
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John convinces Louise to sign a contract for room and board at his house in Montreal in exchange for $1,000.
When Louise prepares to move in, John informs her that she will be staying in a room at a run-down hotel he owns. Which cause of nullity is Louise MOST LIKELY to employ to cause the contract to be of no effect?
Correct Answer: B 🗳️
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