CIP C14 - Auto - Final Exam Questions And Answers
Verified 100% Correct
Coverages provided by AB section of owner's policy - ANSWER -1. Income
replacement
2. Non-earner benefits
3. Caregiver benefits
4. Medical, rehab and attendant care benefits
5. Payments of other expenses
6. Death and funeral benefits
7. Optional benefits
Income replacement benefits - who is eligible - ANSWER -1. Actively employed
(employed at time of accident, within 104 weeks of accident and can't perform
work tasks)
2. Not actively employed (employed for at least 26 of 52 weeks prior to accident,
someone receiving employment insurance at time of accident, 16 years old+
excused from attendance at school)
3. Contract of employment (was entitled at time of accident to start work within 1
yr under legitimate contract of employment before the accident)
Income Replacement Benefits - ANSWER --Covers the loss of income due to the
accident
-Not payable for first week of disability
-Not payable for more than 104 weeks
-Unless person meets complete inability
-First 104 weeks = 70% of insured gross weekly income
-Optional income replacement benefits available
Non-earner benefit - who is eligible - ANSWER -1. Not employed (doesn't qualify
for income replacement, retired or housewife)
,2. Prior caregiver (cease to receive caregiver benefit bc no longer a person in need
of care)
3. Student (enrolled full time in elementary, secondary, or post-secondary at time
of accident)
Non-earner benefit - ANSWER --4 week waiting period before can receive it
-After 4 weeks, insured can receive benefits for up to 2 yrs from accident
-Non-earner is not payable to someone who is receiving income replacement or
caregiver benefits
Caregiver Benefit - ANSWER --Sustain a catastrophic impairment because of the
accident
-Can no longer provide caregiving activities they were doing at the time of the
accident (need to live with person that needs care and be their primary caregiver)
-Pays for $250 a week for 1 person needing care and $50 per week for each
additional dependant
Medical, Rehabilitation, and attendant care benefits - ANSWER --Medical benefit:
medical expenses not payable under another insurance plan or law
-Rehabilitation benefit: pays for measures that reduce/eliminate the effects of a
disability caused by the accident
-Attendant care benefits: for payment of services provided by an aide or attendant,
or a long-term care facility
Payment of other expenses - ANSWER -Covers expenses like:
1. education
2. expense of visitors
3. housekeeping
4. damage to glasses, hearing aids, etc.
5. costs of examinations
Death and funeral benefits - ANSWER --Lump sums on the death of the insured,
insured's spouse or dependants
-Also pays $6k for funeral costs (optional increase to $8k)
, Optional benefits (AB) - ANSWER --Increased limits to the various accident
benefits
-Based on consumer price index (CPI)
Excluded person under IRB or Non-earner benefits, education expenses, expenses
of visitors, and housekeeping and home maintenance expenses - ANSWER --
Someone convicted of impaired driving
-Someone who knowingly operated uninsured vehicle
-Person driving without a valid drivers licence
-Driver excluded on the policy
-Driver that was operating vehicle without owners consent
Excluded person under all accident benefits - ANSWER --Anyone who made
material misrepresentation
-Anyone who failed to notify insurer of material change in risk
-Occupant of a vehicle that knew or should have known that the driver was
operating vehicle without consent of owner
Fraud rings - ANSWER --Auto collisions typically happen between 2 vehicles,
producing many claimants who could be eligible for AB
-Claimants may also be involved in multiple accidents in diff vehicles
-Witness may appear on many claims reports
Planned Accidents - ANSWER --Usually at night behind buildings or where there
are no witnesses
-Vehicle may be driven into wall at low speed causing less than $500 damage
-Phony claimant are referred to clinics for treatment they don't need or don't get
-AB forms are then submitted to insurers
Uninsured Automobile Coverage - ANSWER --Can recover from own insurer for
damages due to accidents caused by uninsured/unidentified automobiles
-Insured must be legally entitled to recover from the uninsured/unidentified
motorists
-Legal right to recover subject to $300 deductible and $25,000 max limit
Verified 100% Correct
Coverages provided by AB section of owner's policy - ANSWER -1. Income
replacement
2. Non-earner benefits
3. Caregiver benefits
4. Medical, rehab and attendant care benefits
5. Payments of other expenses
6. Death and funeral benefits
7. Optional benefits
Income replacement benefits - who is eligible - ANSWER -1. Actively employed
(employed at time of accident, within 104 weeks of accident and can't perform
work tasks)
2. Not actively employed (employed for at least 26 of 52 weeks prior to accident,
someone receiving employment insurance at time of accident, 16 years old+
excused from attendance at school)
3. Contract of employment (was entitled at time of accident to start work within 1
yr under legitimate contract of employment before the accident)
Income Replacement Benefits - ANSWER --Covers the loss of income due to the
accident
-Not payable for first week of disability
-Not payable for more than 104 weeks
-Unless person meets complete inability
-First 104 weeks = 70% of insured gross weekly income
-Optional income replacement benefits available
Non-earner benefit - who is eligible - ANSWER -1. Not employed (doesn't qualify
for income replacement, retired or housewife)
,2. Prior caregiver (cease to receive caregiver benefit bc no longer a person in need
of care)
3. Student (enrolled full time in elementary, secondary, or post-secondary at time
of accident)
Non-earner benefit - ANSWER --4 week waiting period before can receive it
-After 4 weeks, insured can receive benefits for up to 2 yrs from accident
-Non-earner is not payable to someone who is receiving income replacement or
caregiver benefits
Caregiver Benefit - ANSWER --Sustain a catastrophic impairment because of the
accident
-Can no longer provide caregiving activities they were doing at the time of the
accident (need to live with person that needs care and be their primary caregiver)
-Pays for $250 a week for 1 person needing care and $50 per week for each
additional dependant
Medical, Rehabilitation, and attendant care benefits - ANSWER --Medical benefit:
medical expenses not payable under another insurance plan or law
-Rehabilitation benefit: pays for measures that reduce/eliminate the effects of a
disability caused by the accident
-Attendant care benefits: for payment of services provided by an aide or attendant,
or a long-term care facility
Payment of other expenses - ANSWER -Covers expenses like:
1. education
2. expense of visitors
3. housekeeping
4. damage to glasses, hearing aids, etc.
5. costs of examinations
Death and funeral benefits - ANSWER --Lump sums on the death of the insured,
insured's spouse or dependants
-Also pays $6k for funeral costs (optional increase to $8k)
, Optional benefits (AB) - ANSWER --Increased limits to the various accident
benefits
-Based on consumer price index (CPI)
Excluded person under IRB or Non-earner benefits, education expenses, expenses
of visitors, and housekeeping and home maintenance expenses - ANSWER --
Someone convicted of impaired driving
-Someone who knowingly operated uninsured vehicle
-Person driving without a valid drivers licence
-Driver excluded on the policy
-Driver that was operating vehicle without owners consent
Excluded person under all accident benefits - ANSWER --Anyone who made
material misrepresentation
-Anyone who failed to notify insurer of material change in risk
-Occupant of a vehicle that knew or should have known that the driver was
operating vehicle without consent of owner
Fraud rings - ANSWER --Auto collisions typically happen between 2 vehicles,
producing many claimants who could be eligible for AB
-Claimants may also be involved in multiple accidents in diff vehicles
-Witness may appear on many claims reports
Planned Accidents - ANSWER --Usually at night behind buildings or where there
are no witnesses
-Vehicle may be driven into wall at low speed causing less than $500 damage
-Phony claimant are referred to clinics for treatment they don't need or don't get
-AB forms are then submitted to insurers
Uninsured Automobile Coverage - ANSWER --Can recover from own insurer for
damages due to accidents caused by uninsured/unidentified automobiles
-Insured must be legally entitled to recover from the uninsured/unidentified
motorists
-Legal right to recover subject to $300 deductible and $25,000 max limit
