OTL EXAM REVIEW QUESTIONS AND ANSWERS, GRADED A+[LATEST EXAM UPDATES]

OTL EXAM REVIEW QUESTIONS AND ANSWERS, GRADED A+ c. Spread the losses of a few over many - The main function of insurance is to a. Provide total security for everybody b. Provide a pool of capital so everyone who suffers a loss can be indemnified c. Spread the losses of a few over many d. Provide an aid to credit d. Forfeiture - The loss of a right as a result of the non-performance of some obligation is called a. Waiver b. Non-waiver c. Scienter d. Forfeiture b. Stock companies - Which of the following types of insurance carriers operates for the benefit of its shareholders? a. Mutual companies b. Stock companies c. Government insurers d. Lloyds b. Subrogation - The procedure whereby an insurer may recover a loss, for which it has paid its insured, from a responsible party is known as a. Indemnity b. Subrogation c. Retribution d. Contribution d. The Canadian charter of rights - Which of the following statements is false? Statute law is initiated by a. The federal parliament b. The legislatures of all provinces c. The legislatures of Quebec d. The Canadian charter of rights List the five (5) elements of a contract. - Agreement Consideration Genuine Intentions Capacity to Contract Legality of Purpose Name the three (3) elements specific to insurance contracts. - Indemnity Insurable Interest Utmost Good Faith What are the three (3) ways Actual Cash Value (ACV) can be determined? - Cost to repair or replace less depreciation Fair market value Consideration of all relevant evidence of the value of the damaged property List the three (3) conditions that must be met for an occurrence to be classified as a fire. - There must be an actual fire or ignition Something is on fire that shouldn't be on