OTL PRACTICE EXAM QUESTIONS AND ANSWERS
Coverage's available under auto policies across Canada include
a. Uninsured Motorist Coverage, Accident Benefits and Loss of or Damage to Insured Auto
b. Accident Benefits and collision
c. Third Party Liability, Accident Benefits and Loss of or Damage to Insured Auto
d. All of the above - CORRECT ANSWER✅✅d. All of the above
Which statement is FALSE?
a. A newly acquired auto is automatically insured for a specified period of time if it replaces another
insured vehicle of similar type
b. It is possible to insure more than one vehicle on the same policy
c. An auto with a trailer attached is considered as one vehicle for the purposes of Accident Benefits
limits
d. No coverage applies to temporary substitute vehicles - CORRECT ANSWER✅✅d. No coverage applies
to temporary substitute vehicles
The following damage is included under all perils coverage:
a. Vandalism of a vehicle
b. Rusting of the vehicle body
c. Radioactive contamination
d. Damage caused to the vehicle while the driver was under the influence of drugs - CORRECT
ANSWER✅✅a. Vandalism of a vehicle
Accident benefits do not pay any expenses, arising out of an auto accident for:
a. Vehicle damage
b. Loss of wages
,c. Dental work
d. Funerals - CORRECT ANSWER✅✅a. Vehicle damage
Which of the following is not covered under the specified perils section
a. Pitmarks in windshield from hail
b. Collision with a tree
c. Ferryboat sank, taking auto with it
d. Damage to car roof as a result of overturn during a riot - CORRECT ANSWER✅✅b. Collision with a
tree
Statutory Conditions
a. Are made up of definitions, rules and regulations which govern Auto Policies
b. Are known as Special Conditions in Alberta
c. Contain the exact words as specified in the Charter of Rights
d. Do not apply to Extension Policies - CORRECT ANSWER✅✅a. Are made up of definitions, rules and
regulations which govern Auto Policies
An auto policy:
a. Cannot be terminated in Quebec once it has been in effect
b. Termination by the insurer can be achieved by giving notice by 15 days registered mail
c. Termination by the insured requires 15 days notice
d. Termination by the insured is subject to a return premium on a pro-rate basis - CORRECT
ANSWER✅✅b. Termination by the insurer can be achieved by giving notice by 15 days registered mail
After being involved in an accident where injuries occurred, an insured must:
a. Contact a lawyer immediately
, b. Comply with all requirements found in the policy
c. Try to settle amicably with the injured parties
d. Not do anything until he knows if there will be a claim - CORRECT ANSWER✅✅b. Comply with all
requirements found in the policy
A deductible usually applies to
a. Fire damage
b. Lightning damage
c. Theft of the entire vehicle.
d. Answers A & B - CORRECT ANSWER✅✅c. Theft of the entire vehicle.
Automobile insurance in Canada contains certain no-fault elements. Which coverage presently available
in all provinces and territories has some no-fault features?
a. Physical damage
b. Uninsured motorist
c. Third party liability
d. Accident benefits - CORRECT ANSWER✅✅d. Accident benefits
The Owner's policy of insurance coverage on a specific automobile is
a. Excess coverage
b. Primary coverage
c. Secondary coverage
d. Optional coverage - CORRECT ANSWER✅✅b. Primary coverage
When an insured's vehicle is damaged in an accident, the insured must do certain things. One of these
is:
Coverage's available under auto policies across Canada include
a. Uninsured Motorist Coverage, Accident Benefits and Loss of or Damage to Insured Auto
b. Accident Benefits and collision
c. Third Party Liability, Accident Benefits and Loss of or Damage to Insured Auto
d. All of the above - CORRECT ANSWER✅✅d. All of the above
Which statement is FALSE?
a. A newly acquired auto is automatically insured for a specified period of time if it replaces another
insured vehicle of similar type
b. It is possible to insure more than one vehicle on the same policy
c. An auto with a trailer attached is considered as one vehicle for the purposes of Accident Benefits
limits
d. No coverage applies to temporary substitute vehicles - CORRECT ANSWER✅✅d. No coverage applies
to temporary substitute vehicles
The following damage is included under all perils coverage:
a. Vandalism of a vehicle
b. Rusting of the vehicle body
c. Radioactive contamination
d. Damage caused to the vehicle while the driver was under the influence of drugs - CORRECT
ANSWER✅✅a. Vandalism of a vehicle
Accident benefits do not pay any expenses, arising out of an auto accident for:
a. Vehicle damage
b. Loss of wages
,c. Dental work
d. Funerals - CORRECT ANSWER✅✅a. Vehicle damage
Which of the following is not covered under the specified perils section
a. Pitmarks in windshield from hail
b. Collision with a tree
c. Ferryboat sank, taking auto with it
d. Damage to car roof as a result of overturn during a riot - CORRECT ANSWER✅✅b. Collision with a
tree
Statutory Conditions
a. Are made up of definitions, rules and regulations which govern Auto Policies
b. Are known as Special Conditions in Alberta
c. Contain the exact words as specified in the Charter of Rights
d. Do not apply to Extension Policies - CORRECT ANSWER✅✅a. Are made up of definitions, rules and
regulations which govern Auto Policies
An auto policy:
a. Cannot be terminated in Quebec once it has been in effect
b. Termination by the insurer can be achieved by giving notice by 15 days registered mail
c. Termination by the insured requires 15 days notice
d. Termination by the insured is subject to a return premium on a pro-rate basis - CORRECT
ANSWER✅✅b. Termination by the insurer can be achieved by giving notice by 15 days registered mail
After being involved in an accident where injuries occurred, an insured must:
a. Contact a lawyer immediately
, b. Comply with all requirements found in the policy
c. Try to settle amicably with the injured parties
d. Not do anything until he knows if there will be a claim - CORRECT ANSWER✅✅b. Comply with all
requirements found in the policy
A deductible usually applies to
a. Fire damage
b. Lightning damage
c. Theft of the entire vehicle.
d. Answers A & B - CORRECT ANSWER✅✅c. Theft of the entire vehicle.
Automobile insurance in Canada contains certain no-fault elements. Which coverage presently available
in all provinces and territories has some no-fault features?
a. Physical damage
b. Uninsured motorist
c. Third party liability
d. Accident benefits - CORRECT ANSWER✅✅d. Accident benefits
The Owner's policy of insurance coverage on a specific automobile is
a. Excess coverage
b. Primary coverage
c. Secondary coverage
d. Optional coverage - CORRECT ANSWER✅✅b. Primary coverage
When an insured's vehicle is damaged in an accident, the insured must do certain things. One of these
is:
