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CII IF1 Exam Syllabus Topics:
| Section | Objectives |
|---|---|
| Insurance Regulation and Compliance | - Ethics and professional standards - Conduct of business rules and consumer protection - Regulatory framework in the UK (FCA and PRA) |
| Legal Principles Relevant to Insurance | - Law of tort
|
| Insurance Principles and Practice | - Principles of insurance (insurable interest, utmost good faith, indemnity) - Claims handling and underwriting basics |
| Agency and Insurance Practice | - Principles of agency law - Authority and responsibilities of agents and brokers |
| Insurance Market and Environment | - Key participants and their roles (insurers, brokers, intermediaries) - Structure of the UK insurance market - Types of insurance products and services |
CII Insurance Legal and Regulatory (IF1) Sample Questions:
Question 1
A risk control survey shows that premises proposed for insurance are in close proximity to a river with a history of flooding. The underwriter will consider this fact to be a
A. physical hazard.
B. moral hazard.
C. pure risk.
D. fundamental risk.
Question 2
In accordance with the principle of good faith, which facts must a potential policyholder disclose to the insurer when applying for insurance?
A. Any facts of law.
B. Only those facts considered likely to reduce the cost of cover
C. Any facts which are in the public domain.
D. Any facts which are considered material to the risk.
Question 3
When Susan applied for a new household contents insurance policy, she was obliged to disclose her extensive claims history. Such details are normally known as
A. indemnity.
B. contractual terms.
C. material circumstances.
D. warranties.
Question 4
The main purpose of the fair treatment of customers initiative is to
A. ensure all firms have a similar service standard.
B. build consumer confidence in the financial services industry.
C. apply fixed times for responding to claims and complaints.
D. make firms more competitive.
Question 5
Who cedes business to a reinsurer?
A. The agent.
B. The insurer.
C. The assessor.
D. The insured.
Solutions:
| Question 1 Answer: A | Question 2 Answer: D | Question 3 Answer: C | Question 4 Answer: B | Question 5 Answer: B |
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