CAIB 2 - Chapter 4 Exam with Complete
Solutions
Breifly explain the fuctions or endorsements, riders, and separate policies - ANS-1.
Endorsements; changes the terms or conditions of the insureds policy
2. Riders; adds additional coverage to those already in place
3. Separate policies; equipment breakdown insurance, computer crime, other
specialized coverages often purchased separately but can be added to existing policy
Identify the endorsement, rider or policy to respond to the following exclusions,
restrictions, or limitations found in the fire and Ec or broad wording previously studied -
ANS-1. Exterior signs; sign form
2. Exterior glass; glass rider
3. Vacant property; vacant property
4. Records; valuable papers and records insurance
Accounts receivable form
Electronic data processing policy
5. Furs; furrier's block
6. Jewellery, watches, pearls, precious and semi-precious stones; jewellers block
7. Property on loan/rental/ conditional sale/payment plan; sales ns samples
floaters/sales representative
Identify the endorsement, rider or policy to respond to the following exclusions,
restrictions, or limitations found in the fire and Ec or broad wording previously studied -
ANS-1. Boiler and certain pressure vessels; equipment breakdown
2. Centrifugal force, mechanical or electrical breakdown; equipment
3. Earthquake; earthquake endorsement
4. Flood; flood endorsement
5. Sewer backup/water escape; water escape endorsement
6. Changes of temperature; consequential loss assumption clause
7. Disturbance or erasure of electronic recordings; electronic data processing policy
8. Due to enforcement of any by-law regulation, ordinance or law; by laws endorsement
Identify three other names for the sign floater - ANS-1. Sign floater
2. Neon sign floater
3. Exterior sign floater
In additional to damage to the sign, identify two other types of damage covered - ANS-
1. Lettering
2. Other artwork
, Identify five common exclusions to the sign form - ANS-1. Wear and tear or mechanical
breakdown
2. Electrical currents other thank lightening, except resultant loss from fire or explosion
3. While property being worked on (installation, repair or maintenance0
4. Dampness of atmosphere or extremes of temperature
5. Strikers, locked out workmen, or personal taking part in labour disturbances or riots
or civic commotions
Identify the two bases on which glass can be insured under a glass rider - ANS-1.
Scheduled basis
2. Blanket basis
List the three details required to be itemized by the broker when glass is on a scheduled
basis - ANS-1. Type, number and size of glass to be insured
2. Location - interior or exterior
3. Description of lettering, or name notation, tape or foil
Identify three examples of lossescovered by the rider - ANS-1. Accidental breakage by
insured or employees
2. Stones thrown from tires of passing vehicles
3. Shifting or building due to earth movement
Identify five exclusions to the rider - ANS-1. Fire
2. Deliberate acts of war, or like violence
3. During construction of, alteration to premises, other thank ordinary
repair/maintenance
4. When premises vacant, on occupied, shut down 30 days
5. Arising out of enforcement of by laws
Identify three additional coverages som insurers are willing to provide - ANS-1. Costs of
making temporary repairs, such as incurred in boarding up damaged openings
2. Costs of removing obstructions, metal grills, to facilitate repair
3. Cost of making repairs to damaged window, showcase, or other frames
Identify the four coverage components of the accounts receivable form - ANS-1.
Amounts which cannot be collected as direct result from loss or accounts receivable
records from insured peril.
2. Interest charges on any loan o offset impaired uncollectible by such loss or damage.
Interest loans taken by insured to offset amounts owed to business not yet collected
3. Collection expense is excess of normal collection cost and necessary because of loss
4. Other expenses in re-establishing records of accounts receivable following such loss
or damage
Identify three areas addressed by the form - ANS-1. Location and protection of accounts
receivable records
Solutions
Breifly explain the fuctions or endorsements, riders, and separate policies - ANS-1.
Endorsements; changes the terms or conditions of the insureds policy
2. Riders; adds additional coverage to those already in place
3. Separate policies; equipment breakdown insurance, computer crime, other
specialized coverages often purchased separately but can be added to existing policy
Identify the endorsement, rider or policy to respond to the following exclusions,
restrictions, or limitations found in the fire and Ec or broad wording previously studied -
ANS-1. Exterior signs; sign form
2. Exterior glass; glass rider
3. Vacant property; vacant property
4. Records; valuable papers and records insurance
Accounts receivable form
Electronic data processing policy
5. Furs; furrier's block
6. Jewellery, watches, pearls, precious and semi-precious stones; jewellers block
7. Property on loan/rental/ conditional sale/payment plan; sales ns samples
floaters/sales representative
Identify the endorsement, rider or policy to respond to the following exclusions,
restrictions, or limitations found in the fire and Ec or broad wording previously studied -
ANS-1. Boiler and certain pressure vessels; equipment breakdown
2. Centrifugal force, mechanical or electrical breakdown; equipment
3. Earthquake; earthquake endorsement
4. Flood; flood endorsement
5. Sewer backup/water escape; water escape endorsement
6. Changes of temperature; consequential loss assumption clause
7. Disturbance or erasure of electronic recordings; electronic data processing policy
8. Due to enforcement of any by-law regulation, ordinance or law; by laws endorsement
Identify three other names for the sign floater - ANS-1. Sign floater
2. Neon sign floater
3. Exterior sign floater
In additional to damage to the sign, identify two other types of damage covered - ANS-
1. Lettering
2. Other artwork
, Identify five common exclusions to the sign form - ANS-1. Wear and tear or mechanical
breakdown
2. Electrical currents other thank lightening, except resultant loss from fire or explosion
3. While property being worked on (installation, repair or maintenance0
4. Dampness of atmosphere or extremes of temperature
5. Strikers, locked out workmen, or personal taking part in labour disturbances or riots
or civic commotions
Identify the two bases on which glass can be insured under a glass rider - ANS-1.
Scheduled basis
2. Blanket basis
List the three details required to be itemized by the broker when glass is on a scheduled
basis - ANS-1. Type, number and size of glass to be insured
2. Location - interior or exterior
3. Description of lettering, or name notation, tape or foil
Identify three examples of lossescovered by the rider - ANS-1. Accidental breakage by
insured or employees
2. Stones thrown from tires of passing vehicles
3. Shifting or building due to earth movement
Identify five exclusions to the rider - ANS-1. Fire
2. Deliberate acts of war, or like violence
3. During construction of, alteration to premises, other thank ordinary
repair/maintenance
4. When premises vacant, on occupied, shut down 30 days
5. Arising out of enforcement of by laws
Identify three additional coverages som insurers are willing to provide - ANS-1. Costs of
making temporary repairs, such as incurred in boarding up damaged openings
2. Costs of removing obstructions, metal grills, to facilitate repair
3. Cost of making repairs to damaged window, showcase, or other frames
Identify the four coverage components of the accounts receivable form - ANS-1.
Amounts which cannot be collected as direct result from loss or accounts receivable
records from insured peril.
2. Interest charges on any loan o offset impaired uncollectible by such loss or damage.
Interest loans taken by insured to offset amounts owed to business not yet collected
3. Collection expense is excess of normal collection cost and necessary because of loss
4. Other expenses in re-establishing records of accounts receivable following such loss
or damage
Identify three areas addressed by the form - ANS-1. Location and protection of accounts
receivable records
