RIBO – General Exam Questions Latest Version 2024/2025 Expert-Verified Q&As

"Offer" and "acceptance" is best described as being: - Unconditional-communicated-same mannerwithin time limit A broker/agent is responsible for what? - Writing only those classes of business acceptable to his/her insurer. A building owned by A is sold for cash to B. Two days after the sale, a fire destroys the building causing a loss of $100,000. Neither the broker nor the insurer was notified of the change in ownership. The insurer would pay: - Nothing. (when you sell your house, you don't transfer insurance) A building worth $100,000 is insured for $60,000 under a policy with 80% coinsurance Clause. Fire damages the building to the extent of $90,000. How much would the insurer pay? - $60,000. (60,000/100,000*90,000=67,500. Only 60,000 purchased) A building worth $120, 000 is insured for $60, 000 under a residential policy with an 80% co-insurance clause. The building sustains a $24, 000 worth of damage in a fire. How much will the insurer pay? - $15,000. A building worth $120,000 is insured for $60,000 under a fire policy with an 80% co-insurance clause. Fire damages the building to the extent of $104,000. How much would the insurer pay? - $60,000. A building worth $250,000 is insured for $50,000. There is an 80% co-insurance clause. Fire damage amounts to $50,000. How much will the insurer pay? - $12,500