CAIB III Questions and Answers Graded A+
B. Canada and the United States (including territories and possessions) The coverage
territory insured under the commercial general liability policy is, with the exception of products
liability policy is influenced by all of the following factors except one. Pick the exception:
A. Canada
B. Canada and the United States (including territories and positions)
C. Canada in the continental United States
D. Canada and the US excluding Hawaii and Alaska
A. Size or area of the plant or factory The determination of the premium to be charged
for products liability coverage under the commercial general liability policy by all of the
following factors, except one. Pick the exception:
A. Size or area of the plant or factory
B. Types of products made or sold
C. Sales volume
D. Territory and which products are sold
,B. To ensure the legal liability of a business when its products cause an injury or damage
Products liability insurance is designed to:
A. To pay for replacement of faulty products when a consumer complaints
B. To ensure the legal liability of a business when it's products cause injury or damage
C. To pay for loss of use caused by A new product that is being tested
D. To pay for the cost of recalling a defective products after release from the insurance premises
C. Slander Which of the following describes spoken deformation
A. Malicious prosecution
B. Libel
C. Slander
D. Trespass
C. 3 million What limit of liability is required for public buses with seating capacity of 16
persons or more having extra provincial operations required in Canada:
A. 200,000
B. 250,000
,C. 3 million
D. 1 million
C. Arrange for coverage E to be endorsed as in B above and attached to waiver of legal liability
endorsement Your clients operate a repair a garage and a large number of customers
automobiles are kept on the premises overnight. Your clients have asked you to ensure that the
coverage is provided for these automobiles regardless of fault. To provide the best coverage for
your clients, you would:
A. Arrange for coverage to be provided under section E - legal liability to customers
B. Arrange for the SEF number 77 - legal liability for comprehensive damage to customers
automobiles endorsement (including open lot pilferage) SPF number 4 standard garage auto
policy
C. Arrange for coverage E to be endorsed as in B above and attached to waiver of legal liability
endorsement
D. Arrange the SEF number 76 additional insured endorsement broad form to be added to all
policy coverage under the SPF number for standard garage auto policy
C. 200,000 Financial responsibility lies and act in each of the common law provinces
require that owners of automobiles be able to establish their ability to pay losses up to a certain
, minimum dollar limit. The minimum legislated limits of third-party liability coverage required to
be carried by automobiles and the private passenger type in each of the common all provinces
is:
A. 50,000
B. 100,000
C. 200,000
D. 250,000
A. Straight bill of lading There are many different kinds of bills of lading. One type is that
which instructs the carriers to deliver the goods to the names consignee only and any
arrangements to the contrary are not permitted. The above instructions would normally be
found in the following type of bill of lading
A. Straight Bill of lading
B. Order bill of leading
C. Release bill of lading
D. Valued bill of lading
C. Draft The method of paying for goods undergoing the ocean voyage is normally
addressed by the terms of sale. Under the terms of sale your client has with the seller, payment
B. Canada and the United States (including territories and possessions) The coverage
territory insured under the commercial general liability policy is, with the exception of products
liability policy is influenced by all of the following factors except one. Pick the exception:
A. Canada
B. Canada and the United States (including territories and positions)
C. Canada in the continental United States
D. Canada and the US excluding Hawaii and Alaska
A. Size or area of the plant or factory The determination of the premium to be charged
for products liability coverage under the commercial general liability policy by all of the
following factors, except one. Pick the exception:
A. Size or area of the plant or factory
B. Types of products made or sold
C. Sales volume
D. Territory and which products are sold
,B. To ensure the legal liability of a business when its products cause an injury or damage
Products liability insurance is designed to:
A. To pay for replacement of faulty products when a consumer complaints
B. To ensure the legal liability of a business when it's products cause injury or damage
C. To pay for loss of use caused by A new product that is being tested
D. To pay for the cost of recalling a defective products after release from the insurance premises
C. Slander Which of the following describes spoken deformation
A. Malicious prosecution
B. Libel
C. Slander
D. Trespass
C. 3 million What limit of liability is required for public buses with seating capacity of 16
persons or more having extra provincial operations required in Canada:
A. 200,000
B. 250,000
,C. 3 million
D. 1 million
C. Arrange for coverage E to be endorsed as in B above and attached to waiver of legal liability
endorsement Your clients operate a repair a garage and a large number of customers
automobiles are kept on the premises overnight. Your clients have asked you to ensure that the
coverage is provided for these automobiles regardless of fault. To provide the best coverage for
your clients, you would:
A. Arrange for coverage to be provided under section E - legal liability to customers
B. Arrange for the SEF number 77 - legal liability for comprehensive damage to customers
automobiles endorsement (including open lot pilferage) SPF number 4 standard garage auto
policy
C. Arrange for coverage E to be endorsed as in B above and attached to waiver of legal liability
endorsement
D. Arrange the SEF number 76 additional insured endorsement broad form to be added to all
policy coverage under the SPF number for standard garage auto policy
C. 200,000 Financial responsibility lies and act in each of the common law provinces
require that owners of automobiles be able to establish their ability to pay losses up to a certain
, minimum dollar limit. The minimum legislated limits of third-party liability coverage required to
be carried by automobiles and the private passenger type in each of the common all provinces
is:
A. 50,000
B. 100,000
C. 200,000
D. 250,000
A. Straight bill of lading There are many different kinds of bills of lading. One type is that
which instructs the carriers to deliver the goods to the names consignee only and any
arrangements to the contrary are not permitted. The above instructions would normally be
found in the following type of bill of lading
A. Straight Bill of lading
B. Order bill of leading
C. Release bill of lading
D. Valued bill of lading
C. Draft The method of paying for goods undergoing the ocean voyage is normally
addressed by the terms of sale. Under the terms of sale your client has with the seller, payment
