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Level 1 General Insurance Exam TEST FINAL EXAM AND
PRACTICE EXAM 20262027 BANK 2 VERSIONS QUESTIONS
WITH DETAILED VERIFIED ANSWERS EXAM QUESTIONS
WILL COME FROM HERE (100% CORRECT ANSWERS A+
GRADED
How was a "reasonable person" defined? - ANSWER--Arland v Taylor
What does the Workers Compensation Act do for the liability of injuries
in the workplace? - ANSWER--Provides employees with no fault job
injuries benefits and in exchange they cannot sue their employer for
injury.
Parents aren't generally required to pay for their children's torts unless:
- ANSWER---They were unsupervised
-They shouldn't have had dangerous item(s) given to them by parents
that caused the damage
-Instructed to do so by parent
-Employed by parent
Liability of Children: Children are responsible for damages unless what
can be proven? - ANSWER--That they were incapable of understanding
the consequences.
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Liability for animals & Legal duty owed - ANSWER--Domestic: Liable
Wild: If it is common knowledge that animal is dangerous, they are held
strictly liable for any damage/injury.
What happens if equal liability is disputed? - ANSWER--The law holds
both tortfeaser's liable for the entirety of the award.
Invitee & Occupier's legal duty owed - ANSWER---Not in AB, BC, ON, NS
Enters by expressed or implied invitation, or connected w/ business or
activity conducted on property. OR has financial/material interest in the
property.
-Must protect invitee's from not only known dangers, but also those
which with reasonable care he might discover.
Tortfeaser/Joint tortfeasers - ANSWER---The person who commits a
wrong (tort) against an innocent party.
- If 2 or more, referred to as joint tortfeasers
What are the 4 sanction levels? - ANSWER--0/-3 = +6
-4/-8 = +5
-8/-15 = +4
-15/-20 = +3
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Limited Depreciation Coverage - ANSWER---First 3 model years
-If damage is considered a "total loss" (write off), insured receives the
value of the vehicle when purchased.
-Cash payout is only option
What are the exceptions of limited depreciation coverage? - ANSWER--
Claim mode for loss due to:
-Fire
-Theft
-Vandalism
-Malicious mischief
What are the 3 types of newer vehicle protection? - ANSWER---
Enhanced replacement cost coverage
-Replacement cost coverage
-Limited depreciation coverage
Enhanced Replacement cost coverage - ANSWER---CRS -4 or lower
-1st or 2nd model year
-If the estimated cost to repair the vehicle is more than 50% of vehicle's
market value, total loss is assumed.
-Insured can receive the new make/model, or cash payout
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Replacement Cost Coverage - ANSWER---CRS -4 or lower
-First 3 model years
-If estimated repair cost is "very high", ICBC decides of it is a total loss
-Insured can receive new make/model or cash payout
Loss of Use Coverage - ANSWER--Pays for car rentals, taxi fares, and
public transportation fares if the insured can't use their vehicle after an
own-damage claim
Automatic Loss of Use Coverage - ANSWER---Included in
comprehensive/specified perils coverage
-Only covered if entire vehicle is stolen
-If just tires or motor stolen, loss of use is not covered.
-Can also purchase excess loss of use coverage
What are the exclusions of Own-Damage Coverage? - ANSWER---Tires
-Wear + Tear
-Vehicle contents
-Insider theft
-Some types of industrial vehicles
(Cranes, logging machinery)
Level 1 General Insurance Exam TEST FINAL EXAM AND
PRACTICE EXAM 20262027 BANK 2 VERSIONS QUESTIONS
WITH DETAILED VERIFIED ANSWERS EXAM QUESTIONS
WILL COME FROM HERE (100% CORRECT ANSWERS A+
GRADED
How was a "reasonable person" defined? - ANSWER--Arland v Taylor
What does the Workers Compensation Act do for the liability of injuries
in the workplace? - ANSWER--Provides employees with no fault job
injuries benefits and in exchange they cannot sue their employer for
injury.
Parents aren't generally required to pay for their children's torts unless:
- ANSWER---They were unsupervised
-They shouldn't have had dangerous item(s) given to them by parents
that caused the damage
-Instructed to do so by parent
-Employed by parent
Liability of Children: Children are responsible for damages unless what
can be proven? - ANSWER--That they were incapable of understanding
the consequences.
,2|Page
Liability for animals & Legal duty owed - ANSWER--Domestic: Liable
Wild: If it is common knowledge that animal is dangerous, they are held
strictly liable for any damage/injury.
What happens if equal liability is disputed? - ANSWER--The law holds
both tortfeaser's liable for the entirety of the award.
Invitee & Occupier's legal duty owed - ANSWER---Not in AB, BC, ON, NS
Enters by expressed or implied invitation, or connected w/ business or
activity conducted on property. OR has financial/material interest in the
property.
-Must protect invitee's from not only known dangers, but also those
which with reasonable care he might discover.
Tortfeaser/Joint tortfeasers - ANSWER---The person who commits a
wrong (tort) against an innocent party.
- If 2 or more, referred to as joint tortfeasers
What are the 4 sanction levels? - ANSWER--0/-3 = +6
-4/-8 = +5
-8/-15 = +4
-15/-20 = +3
,3|Page
Limited Depreciation Coverage - ANSWER---First 3 model years
-If damage is considered a "total loss" (write off), insured receives the
value of the vehicle when purchased.
-Cash payout is only option
What are the exceptions of limited depreciation coverage? - ANSWER--
Claim mode for loss due to:
-Fire
-Theft
-Vandalism
-Malicious mischief
What are the 3 types of newer vehicle protection? - ANSWER---
Enhanced replacement cost coverage
-Replacement cost coverage
-Limited depreciation coverage
Enhanced Replacement cost coverage - ANSWER---CRS -4 or lower
-1st or 2nd model year
-If the estimated cost to repair the vehicle is more than 50% of vehicle's
market value, total loss is assumed.
-Insured can receive the new make/model, or cash payout
, 4|Page
Replacement Cost Coverage - ANSWER---CRS -4 or lower
-First 3 model years
-If estimated repair cost is "very high", ICBC decides of it is a total loss
-Insured can receive new make/model or cash payout
Loss of Use Coverage - ANSWER--Pays for car rentals, taxi fares, and
public transportation fares if the insured can't use their vehicle after an
own-damage claim
Automatic Loss of Use Coverage - ANSWER---Included in
comprehensive/specified perils coverage
-Only covered if entire vehicle is stolen
-If just tires or motor stolen, loss of use is not covered.
-Can also purchase excess loss of use coverage
What are the exclusions of Own-Damage Coverage? - ANSWER---Tires
-Wear + Tear
-Vehicle contents
-Insider theft
-Some types of industrial vehicles
(Cranes, logging machinery)
