CAIB 2 EXAM ACTUAL EXAM 2026 | ALL QUESTIONS
AND CORRECT ANSWERS | VERIFIED ANSWERS |
UPDATED VERSION | BRAND NEW VERSION!
Identify five Additional Conditions contained in a number of
commercial property forms: ------------Correct Answer--------------------1)
notice to authorities
2) sue and labour
3) no benefit to bailee
4) pair and set
5) parts
Briefly explain the effect of any three of the additional conditions
contained in the commercial property forms: ------------Correct Answer--
------------------PAIR & SET: if loss or damage to only one item does not
constitute loss or damage to entire pair or set.
PARTS: if loss or damage to any part of property, the insured is not
liable for more than the insured value of the part lost or damaged,
including cost of installation.
NOTICE TO AUTHORITIES: when loss is due to malicious acts, theft or
burglary, robbery, or attempt thereat, the insurer shall give immediate
notice to police or other authorities having jurisdiction.
,An application and a submission are not the same thing. Identify three
items that a submission may include: ------------Correct Answer-------------
--------an application
-additional verbal information
-additional written information, including previous policy premium, loss
history and details of loses, financial statements, photographs
Identify five steps of the broker's role in the underwriting process: -------
-----Correct Answer---------------------completion of survey
-search for interested insurer
-meet with client, discuss quotes and select insurer
-request binding coverage from the selected insurer
-review policy and deliver to client
[MR. CSR]
,Identify three things that a Survey does * ------------Correct Answer-------
--------------assist in identification of loss exposures
-helps to determine the coverages needed
-develops other underwriting information needed by the insurer
Identify three reasons for a broker to use a Commercial Property Check
list ------------Correct Answer---------------------alerts brokers to possible
loss exposures
-ensures that needed coverages are not forgotten or ignored
-helps to reduce the potential for an errors and omissions claims
Identify five classes of Building Construction as identified by the IAO
and briefly explain any three. ------------Correct Answer--------------------1)
fire resistive - building is one which has met minimum standards in
terms of hours it will withstand a specific, carefully controlled test fire.
(blocked doors)
2) non-combustive - is when all structural members, including floors,
roofs, and their supports are CONSTRUCTED of STEEL, IRON, concrete
or other non-combustible materials. Falls just short of fire resistive.
(bricks)
, 3) heavy timber - is quite rare and only found in existing old buildings.
Floor and roof construction is wood such as a log house. (log house)
4) ordinary (concrete, wood, steel)
5) frame (wood)
[hoffon
Identify five areas of information that may be required when a building
is over 25 years of age: ------------Correct Answer--------------------- roof
- wiring
- over-current protection (circuit breakers, fuses)
- plumbing
- heating
Identify five hazards common to all commercial buildings which may
influence their potential for loss: ------------Correct Answer------------------
--- heating
- electrical services
AND CORRECT ANSWERS | VERIFIED ANSWERS |
UPDATED VERSION | BRAND NEW VERSION!
Identify five Additional Conditions contained in a number of
commercial property forms: ------------Correct Answer--------------------1)
notice to authorities
2) sue and labour
3) no benefit to bailee
4) pair and set
5) parts
Briefly explain the effect of any three of the additional conditions
contained in the commercial property forms: ------------Correct Answer--
------------------PAIR & SET: if loss or damage to only one item does not
constitute loss or damage to entire pair or set.
PARTS: if loss or damage to any part of property, the insured is not
liable for more than the insured value of the part lost or damaged,
including cost of installation.
NOTICE TO AUTHORITIES: when loss is due to malicious acts, theft or
burglary, robbery, or attempt thereat, the insurer shall give immediate
notice to police or other authorities having jurisdiction.
,An application and a submission are not the same thing. Identify three
items that a submission may include: ------------Correct Answer-------------
--------an application
-additional verbal information
-additional written information, including previous policy premium, loss
history and details of loses, financial statements, photographs
Identify five steps of the broker's role in the underwriting process: -------
-----Correct Answer---------------------completion of survey
-search for interested insurer
-meet with client, discuss quotes and select insurer
-request binding coverage from the selected insurer
-review policy and deliver to client
[MR. CSR]
,Identify three things that a Survey does * ------------Correct Answer-------
--------------assist in identification of loss exposures
-helps to determine the coverages needed
-develops other underwriting information needed by the insurer
Identify three reasons for a broker to use a Commercial Property Check
list ------------Correct Answer---------------------alerts brokers to possible
loss exposures
-ensures that needed coverages are not forgotten or ignored
-helps to reduce the potential for an errors and omissions claims
Identify five classes of Building Construction as identified by the IAO
and briefly explain any three. ------------Correct Answer--------------------1)
fire resistive - building is one which has met minimum standards in
terms of hours it will withstand a specific, carefully controlled test fire.
(blocked doors)
2) non-combustive - is when all structural members, including floors,
roofs, and their supports are CONSTRUCTED of STEEL, IRON, concrete
or other non-combustible materials. Falls just short of fire resistive.
(bricks)
, 3) heavy timber - is quite rare and only found in existing old buildings.
Floor and roof construction is wood such as a log house. (log house)
4) ordinary (concrete, wood, steel)
5) frame (wood)
[hoffon
Identify five areas of information that may be required when a building
is over 25 years of age: ------------Correct Answer--------------------- roof
- wiring
- over-current protection (circuit breakers, fuses)
- plumbing
- heating
Identify five hazards common to all commercial buildings which may
influence their potential for loss: ------------Correct Answer------------------
--- heating
- electrical services
