CCIFP Risk Questions with Correct Answers
Common restriction on general liability insurance
- Contractual liability
- Pollution
- Exterior finish and Installation (EFIS)
- Professional liability
Performance Bond
Guarantees that a contractor will perform to the contract terms and built according to any
plans/specs
Surety Underwriting Business Acumen
Generally demonstrated through a formal business plan. Highlights SWOT, goals, and values.
Financial Guarantee Bond
Guarantees any financial transaction. Wages, retainage, etc.
General conditions of an insurance contract
Goes over administrative procedures and rights of the parties
Who sets rules and rates for workers comp
National Council on Compensation Insurance (NCCI)
Risk transfer
Risk mitigation strategy to hand over risk of loss to another parts
1) Hold harmless clauses
2) Insurance
, 8 Items to review in a contract
1) Contract documents
2) Remedy clauses
3) Scheduling provisions
4) indemnification agreements
5) Bonding and insurance provisions
6) Course of performance, usage, trade
7) External factors (Force majeure)
8) Dispute resolution
What is workers comp insurance
State based insurance to compensate workers in event of on job injury. Rates set by NCCI
and based on companies usage.
General Liability Insurance Characteristics
Covers claims made at during times polity is in effect. Can have singular incident and
aggregate total limits
Insurance Services Office (ISO)
Collects data, rating info and policy positions for insurance companies
Key Surety Underwriting factors
1) Character
2) Management structure and organization
3) Financial management
4) Business acumen
Common restriction on general liability insurance
- Contractual liability
- Pollution
- Exterior finish and Installation (EFIS)
- Professional liability
Performance Bond
Guarantees that a contractor will perform to the contract terms and built according to any
plans/specs
Surety Underwriting Business Acumen
Generally demonstrated through a formal business plan. Highlights SWOT, goals, and values.
Financial Guarantee Bond
Guarantees any financial transaction. Wages, retainage, etc.
General conditions of an insurance contract
Goes over administrative procedures and rights of the parties
Who sets rules and rates for workers comp
National Council on Compensation Insurance (NCCI)
Risk transfer
Risk mitigation strategy to hand over risk of loss to another parts
1) Hold harmless clauses
2) Insurance
, 8 Items to review in a contract
1) Contract documents
2) Remedy clauses
3) Scheduling provisions
4) indemnification agreements
5) Bonding and insurance provisions
6) Course of performance, usage, trade
7) External factors (Force majeure)
8) Dispute resolution
What is workers comp insurance
State based insurance to compensate workers in event of on job injury. Rates set by NCCI
and based on companies usage.
General Liability Insurance Characteristics
Covers claims made at during times polity is in effect. Can have singular incident and
aggregate total limits
Insurance Services Office (ISO)
Collects data, rating info and policy positions for insurance companies
Key Surety Underwriting factors
1) Character
2) Management structure and organization
3) Financial management
4) Business acumen
