CAIB 2 - CHAPTER 3 IBABC EXAM 2024 WITH 100% CORRECT ANSWERS

1) Failure or malfunction of mechanical or electrical equipment; 2) Arson; 3) Misuse of ignition source. correct answersThe three leading causes of fire losses in Canada. Policy period takes effect at 12:01 a.m. standard time at the address of the Named Insured as stated on the policy. correct answersThe policy-period start that's applicable to most commercial property policies. The insurer is liable to that party, meaning that it may have to pay the claim twice. correct answersThis happens when an additional payee is named on the policy and the insurer makes full loss payment to the insured. They don't want to divulge their rates to competitors. correct answersThe reason why insurers don't provide breakdowns of coverage rates. Direct loss or damage from fire, lightning and explosion of natural, coal or manufactured gas. correct answersProvincial legislation requires that policies insuring against the peril of fire must include all of these coverages. Vacancy, unoccupancy and when premises are shut down. correct answersThese conditions increase the physical hazard for which coverage is excluded by the Fire Policy. Any increase in the costs to rebuild, repair or replace the insured's building after a loss that are incurred to comply with a law or by-law are not insured. correct answersSummary of the by-laws exclusion. Coverage is provided for property at location(s) not shown on the policy, as long as the insured can show that the property was "necessarily" removed to prevent loss. The coverage amount is limited to the insurance amount remaining after payment of any losses at the insured location. Coverage at an unnamed location is limited to the least of 7 days or the remaining policy term. correct answersProvisions of the removal clause.