CAIB 2 - Chapter 2 Test with Accurate
Solutions
Section 1 -The Role of the Broker in the insurance process - ANS-
Application vs submission - ANS-An application is used for an insurer to get the full
details of a risk before writing a risk or declining, where as a submission can include an
application for an insurer to review.
Submission can include the following? - ANS-1 cope details
2 name of insured
3 BVS
4 CTS - loss history
5 Application
6 photos
7
5 step process from start to finish - ANS-1. Survey
2. Find insurers who are willing to write
3. Meet with insured with quotes / declines
4 Request to bind with insurer
5 Review policy and share with insured
step 5 of reviewing the policies has 3 components - ANS-1. Building construction
2. Common hazards
3. special hazards
2 key elements of any insurance policy for a prospect - ANS-premium and coverage
A. 5 classes of building construction - ANS-Fire resistive
non cobustible
heavy timber
ordinary
frame
1. Fire resistive - ANS-- A building which meets the minimum requirements for how long
it can withstand a tested controlled fire
* cant just be bare steel
, 2. Non Combustible - ANS-- all structural parts of the building are steel and supporting
constructs
3. Heavy timber - ANS-rare, old buildings
4. ordinary - ANS-brick . joist or concrete block / wood roof . Exterior is made of non
combustible
- interior walls, floor, etc is constructed of wood and other combustible material
5. Frame - ANS-The entire frame is wood including the supporitng structures. Brick
veneer is a common exterior.
. Common Hazards (5)
Acronym
Heat
will
deliver
playoff
offense - ANS-1 heating
2 wiring
3 detachment
4 protection
5 occupancy
heating components - ANS-the heating source, fuel source, and chimney
wiring components - ANS-- direct relationship with fire loss
** most common is copper
Detachment - ANS-proximity to nearby structures
protection
- 2 types - ANS-- private and public
occupancy
- 6 types (review examples for each type when studing) - ANS-relating to the tangible
property that can cause a perril
1 construction
2. occupancy
3. Protection - private factors as gone over earlier
4. exposure (external sources)
5. Geography - weather / land related
Solutions
Section 1 -The Role of the Broker in the insurance process - ANS-
Application vs submission - ANS-An application is used for an insurer to get the full
details of a risk before writing a risk or declining, where as a submission can include an
application for an insurer to review.
Submission can include the following? - ANS-1 cope details
2 name of insured
3 BVS
4 CTS - loss history
5 Application
6 photos
7
5 step process from start to finish - ANS-1. Survey
2. Find insurers who are willing to write
3. Meet with insured with quotes / declines
4 Request to bind with insurer
5 Review policy and share with insured
step 5 of reviewing the policies has 3 components - ANS-1. Building construction
2. Common hazards
3. special hazards
2 key elements of any insurance policy for a prospect - ANS-premium and coverage
A. 5 classes of building construction - ANS-Fire resistive
non cobustible
heavy timber
ordinary
frame
1. Fire resistive - ANS-- A building which meets the minimum requirements for how long
it can withstand a tested controlled fire
* cant just be bare steel
, 2. Non Combustible - ANS-- all structural parts of the building are steel and supporting
constructs
3. Heavy timber - ANS-rare, old buildings
4. ordinary - ANS-brick . joist or concrete block / wood roof . Exterior is made of non
combustible
- interior walls, floor, etc is constructed of wood and other combustible material
5. Frame - ANS-The entire frame is wood including the supporitng structures. Brick
veneer is a common exterior.
. Common Hazards (5)
Acronym
Heat
will
deliver
playoff
offense - ANS-1 heating
2 wiring
3 detachment
4 protection
5 occupancy
heating components - ANS-the heating source, fuel source, and chimney
wiring components - ANS-- direct relationship with fire loss
** most common is copper
Detachment - ANS-proximity to nearby structures
protection
- 2 types - ANS-- private and public
occupancy
- 6 types (review examples for each type when studing) - ANS-relating to the tangible
property that can cause a perril
1 construction
2. occupancy
3. Protection - private factors as gone over earlier
4. exposure (external sources)
5. Geography - weather / land related
