CII Exam 2025 Questions and
Answers 100% Pass
Direct Insurer - ✔✔- sells directly to customers through their call centres or the internet.
Insurance Broker / Intermediary - ✔✔- sells insurance on behalf of an insurance
company.
- middleman
PUU - ✔✔- Possibility (if).
- Unpredictability (when).
- Uncertainty (whether financial loss).
Peril - ✔✔- something that causes a loss.
Hazard - ✔✔- factors that increase or decrease the chance of a peril.
Insurance - ✔✔- risk transfer mechanism.
- from customer to insurance company.
Pooling of Risk - ✔✔- the losses of the few are met by the contributions of the many.
Law of Large Numbers - ✔✔- the more customers there are, the easier it is to predict the
number of claims that will occur.
Risk Assessment Process - ✔✔- risk identification (set of questions).
- risk analysis (hazards are assessed).
- risk control (develop appropriate responses).
COPYRIGHT © 2025 BY EMILLY CHARLOTTE, ALL RIGHTS RESERVED 1
, First Party - ✔✔- policyholder.
Second Party - ✔✔- insurance company.
Third Party - ✔✔- anyone that customer injures or causes damage to.
Agent - ✔✔- brings two parties together.
- RIAS
Utmost Good Faith - ✔✔- both customer and insurance company had to disclose all
relevant facts in relation to contract (material facts).
Consumer Insurance Act 2012 - ✔✔- reduces the liklihood of customers making a mis-
representation and subsequently having a claim disputed.
- done by asking a set of clear and specific questions.
Indemnity - ✔✔- putting the customer back in the same financial position they were in
before the loss.
Sum Insured - ✔✔- customer will only be paid up to a certain sum.
1894 - ✔✔- Karl Benz and Gottliebb N Daimler
- introduced the first two-seater motorcar.
1894 to 1914 - ✔✔- motorcar became popular.
- rich man's hobby.
1914 to 1918 - ✔✔- more people able to drive due to war.
- hire purchase was introduced.
1930 - ✔✔- road traffic act.
- compulsory to have insurance when driving a car to provide financial compensation
to innocent people.
1988 - ✔✔- road traffic act was revised.
- compulsory to cover damage to other people's property as well as death and injury.
MID - ✔✔- motor insurance database.
COPYRIGHT © 2025 BY EMILLY CHARLOTTE, ALL RIGHTS RESERVED 2
Answers 100% Pass
Direct Insurer - ✔✔- sells directly to customers through their call centres or the internet.
Insurance Broker / Intermediary - ✔✔- sells insurance on behalf of an insurance
company.
- middleman
PUU - ✔✔- Possibility (if).
- Unpredictability (when).
- Uncertainty (whether financial loss).
Peril - ✔✔- something that causes a loss.
Hazard - ✔✔- factors that increase or decrease the chance of a peril.
Insurance - ✔✔- risk transfer mechanism.
- from customer to insurance company.
Pooling of Risk - ✔✔- the losses of the few are met by the contributions of the many.
Law of Large Numbers - ✔✔- the more customers there are, the easier it is to predict the
number of claims that will occur.
Risk Assessment Process - ✔✔- risk identification (set of questions).
- risk analysis (hazards are assessed).
- risk control (develop appropriate responses).
COPYRIGHT © 2025 BY EMILLY CHARLOTTE, ALL RIGHTS RESERVED 1
, First Party - ✔✔- policyholder.
Second Party - ✔✔- insurance company.
Third Party - ✔✔- anyone that customer injures or causes damage to.
Agent - ✔✔- brings two parties together.
- RIAS
Utmost Good Faith - ✔✔- both customer and insurance company had to disclose all
relevant facts in relation to contract (material facts).
Consumer Insurance Act 2012 - ✔✔- reduces the liklihood of customers making a mis-
representation and subsequently having a claim disputed.
- done by asking a set of clear and specific questions.
Indemnity - ✔✔- putting the customer back in the same financial position they were in
before the loss.
Sum Insured - ✔✔- customer will only be paid up to a certain sum.
1894 - ✔✔- Karl Benz and Gottliebb N Daimler
- introduced the first two-seater motorcar.
1894 to 1914 - ✔✔- motorcar became popular.
- rich man's hobby.
1914 to 1918 - ✔✔- more people able to drive due to war.
- hire purchase was introduced.
1930 - ✔✔- road traffic act.
- compulsory to have insurance when driving a car to provide financial compensation
to innocent people.
1988 - ✔✔- road traffic act was revised.
- compulsory to cover damage to other people's property as well as death and injury.
MID - ✔✔- motor insurance database.
COPYRIGHT © 2025 BY EMILLY CHARLOTTE, ALL RIGHTS RESERVED 2
