Master BB Practice Test #2: RIBO Certification Exam Prep. 2025 Exam Updates. Verified.
The BB Practice Test #2 RIBO is a practice exam for those preparing for the Registered
Insurance Brokers of Ontario (RIBO) certification. It covers insurance policies, claims
handling, legal and ethical responsibilities, and regulatory requirements. The test helps
candidates assess their knowledge and readiness for the RIBO exam.
A member who places insurance with an insurer unlicensed to trade insurance in Ontario must;
a) Arrange for the insurer to be licensed before the coverage is placed
b) Ensure no additional taxes are charged to the expense of the insured
c) Obtain the written consent of the member of the public whom the broker services to the effect that they
are aware their coverage will be carried by an unlicensed insurer in the province
d) Obtain written guarantees from the insurer that they will abide by the legal requirements under the
Insurance Act of the province - ✔✔-c
A real estate salesman in your city has arranged to pass you leads whenever he sells a home and in return
asks you to give him some premium consideration when his policy is up for renewal. You consult the
RIBO Act and realize that:
a) Contrary to popular belief you can reduce the premium but only up to the amount of your commission.
b) You cannot pay him for anything directly but you can pay a finders fee to the Real Estate firm which
equals the first year premium
c) Finders fees can be paid but only to persons who are registered as insurance intermediaries
d) No cash can be exchanged, however there is nothing to prohibit you purchasing a barbecue or other
things of value as recognition for his assistance - ✔✔-c
An insurance broker:
a) Acts in any manner in soliciting, negotiating, or procuring the making of any contract of insurance or
reinsurance
b) Does not provide risk management
c) Holds his/her employees out as insurance consultants
d) Only advises - ✔✔-a
, As a broker holding a restricted license you are not able to:
a) Sell insurance policies on behalf of more than one insurer
b) Open and operate a trust account
c) Counsel Potential clients on the insurance choices available
d) Bind coverage - ✔✔-b
As an insurance broker "restricted to act under supervision"
a) You may sell and solicit insurance and provide consultation to the general public only within the
community where your office is located
b) You may solicit insurance only from Individuals who call to or visit your office
c) You may not act as a sole proprietor, control trust funds, or act as a designated individual
d) You may control a trust account under the supervision of the designated individual - ✔✔-c
As per section 14.7 of regulation 991 (RIB Act), "a member shall not act as insurance broker in
accordance with the code of conduct"
a) by acting as an insurance agent
b) In a manner consistent with the code
c) By jeopardizing the member's integrity, independence or competence
d) With courtesy and good faith - ✔✔-c
Brokers may act in a manner that could be considered a conflict of interest if they:
a) Are acting on behalf of the client while accepting payment on behalf of the insurer
b) Offer advice regarding the type of insurance most suitable to their client's needs and this is also in the
best interests of the insurer
c) Act in a manner that is above reproach from both the clients and insurers perspective
d) Represent both the client and the insurer at the same time - ✔✔-d
The BB Practice Test #2 RIBO is a practice exam for those preparing for the Registered
Insurance Brokers of Ontario (RIBO) certification. It covers insurance policies, claims
handling, legal and ethical responsibilities, and regulatory requirements. The test helps
candidates assess their knowledge and readiness for the RIBO exam.
A member who places insurance with an insurer unlicensed to trade insurance in Ontario must;
a) Arrange for the insurer to be licensed before the coverage is placed
b) Ensure no additional taxes are charged to the expense of the insured
c) Obtain the written consent of the member of the public whom the broker services to the effect that they
are aware their coverage will be carried by an unlicensed insurer in the province
d) Obtain written guarantees from the insurer that they will abide by the legal requirements under the
Insurance Act of the province - ✔✔-c
A real estate salesman in your city has arranged to pass you leads whenever he sells a home and in return
asks you to give him some premium consideration when his policy is up for renewal. You consult the
RIBO Act and realize that:
a) Contrary to popular belief you can reduce the premium but only up to the amount of your commission.
b) You cannot pay him for anything directly but you can pay a finders fee to the Real Estate firm which
equals the first year premium
c) Finders fees can be paid but only to persons who are registered as insurance intermediaries
d) No cash can be exchanged, however there is nothing to prohibit you purchasing a barbecue or other
things of value as recognition for his assistance - ✔✔-c
An insurance broker:
a) Acts in any manner in soliciting, negotiating, or procuring the making of any contract of insurance or
reinsurance
b) Does not provide risk management
c) Holds his/her employees out as insurance consultants
d) Only advises - ✔✔-a
, As a broker holding a restricted license you are not able to:
a) Sell insurance policies on behalf of more than one insurer
b) Open and operate a trust account
c) Counsel Potential clients on the insurance choices available
d) Bind coverage - ✔✔-b
As an insurance broker "restricted to act under supervision"
a) You may sell and solicit insurance and provide consultation to the general public only within the
community where your office is located
b) You may solicit insurance only from Individuals who call to or visit your office
c) You may not act as a sole proprietor, control trust funds, or act as a designated individual
d) You may control a trust account under the supervision of the designated individual - ✔✔-c
As per section 14.7 of regulation 991 (RIB Act), "a member shall not act as insurance broker in
accordance with the code of conduct"
a) by acting as an insurance agent
b) In a manner consistent with the code
c) By jeopardizing the member's integrity, independence or competence
d) With courtesy and good faith - ✔✔-c
Brokers may act in a manner that could be considered a conflict of interest if they:
a) Are acting on behalf of the client while accepting payment on behalf of the insurer
b) Offer advice regarding the type of insurance most suitable to their client's needs and this is also in the
best interests of the insurer
c) Act in a manner that is above reproach from both the clients and insurers perspective
d) Represent both the client and the insurer at the same time - ✔✔-d
