Caib 1 - Study guides, Class notes & Summaries

CAIB 1 CHAPTER 1 Questions with 100% Correct Answers | Latest Version 2024 | Expert Verified | Ace the Test

CAIB 1 - Chapter 1 Questions and Answers Rated A+ Define "Risk" The chance of a financial loss to which the object of insurance may be exposed to List 3 Categories of Risk 1) Personal 2) Property 3) Liability List 4 Types of Risk Management Techniques 1) Risk Avoidance 2) Risk Retention 3) Risk Control 4) Risk Transfer Define "Risk Avoidance" To avoid doing something in order to eliminate the chance of risk Define "Risk Retention" To self-insure or to pay for losses the...

Practice Exam for CAIB 1 Questions and Answers 100% Pass Insurers are in the business of assuming the financial risks of others which involves entering into a formal contract. A contract is enforceable at law only when all legal elements have been observed. Insurance contracts differ from other formal agreements and are subject to what three additional elements? Insurable Interest Utmost Good Faith Indemnity Explain the meaning and disadvantage of the following approaches: Avoida...

CAIB 1 Questions with complete solution 2024 Provide 1 reason why persons should not rely on control of risk as a total solution in eliminating financial loss -correct answer -Equipment will not work 100% of the time -certain types of losses such as wind, hail and lightning cannot be effectively controlled People can choose to deal with risk in a variety of ways identify four possible options and provide a brief explanation of each -correct answer Avoid the risk - rent rather than buy ...

CAIB 1 - Chapter 6 Questions and Answers Rated A+ What types of claims are paid out under Death & Injury court awards to innocent victims and their families, death benefits and funeral expenses, medical payments, rehabilitation costs, loss of income What types of claims are paid out under Damage to Property Collision, Comprehensive Why is auto insurance compulsory in all provinces? It is unlikely that people would voluntarily purchase insurance thus leaving society to pay costs as...

CAIB 4 Exam Questions with Correct Answers What are the two approaches to planning? Explain each - Answer-1) Top Down Planning - Management provides the mission, strategies, and objectives for the brokerage 2) Bottom Up Planning - Management provides the mission and broad strategies. Leaves the objectives, goals and activities to business units. What are the advantages and disadvantages of top down planning? - Answer-Advantages: Management feels in control and in charge of decision makin...

CAIB 1 - CHAPTER 1-4 Exam Study Guide With Verified Solutions. Provide 1 reason why persons should not rely on control of risk as a total solution in eliminating financial loss - answer-Equipment will not work 100% of the time -certain types of losses such as wind, hail and lightning cannot be effectively controlled People can choose to deal with risk in a variety of ways identify four possible options and provide a brief explanation of each - answerAvoid the risk - rent rather than buy C...

Consideration is... a. The law of insurance b. A promise between parties c. A contract's binding force d. An exchange of something of value - correct answer d. An exchange of something of value A stock company is... a. A company that invests in other companies b. A company owned by stockholders who provide the capital to start and run the company c. Is owned by customers of the company d. A company that owns livestock - correct answer b. A company owned by stockhold...

Consideration is... a. The law of insurance b. A promise between parties c. A contract's binding force d. An exchange of something of value - d. An exchange of something of value A stock company is... a. A company that invests in other companies b. A company owned by stockholders who provide the capital to start and run the company c. Is owned by customers of the company d. A company that owns livestock - b. A company owned by stockholders who provide the capital to start and run the ...