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IIC C130 Exam Syllabus Topics:

SectionObjectives
Insurance Fundamentals and Risk Concepts- Insurance principles and contract basics
- Nature of risk (pure vs speculative risk)
Legal and Regulatory Framework- Ethical standards and professional conduct
- Law of agency and fiduciary duty
Insurance Products and Markets- Commercial and personal lines overview
- Property and casualty insurance basics
Broker and Agent Practice Skills- Policy placement and insurer interaction
- Client communication and advisory skills
Insurance Distribution Systems- Agent vs broker roles and responsibilities
- Distribution models (independent agency, brokerage, direct writers)

IIC Essential Skills for the Insurance Broker and Agent Sample Questions:

1. To protect themselves against claims that arise long after the policy expiration date, a broker should retain a permanent copy of which policy?

A) Crime
B) Automobile
C) Property
D) Liability


2. What do statutory conditions and general conditions have in common?

A) Considered fine print wordings
B) Are countersigned by an executive of the insured
C) Apply to all types of insurance
D) Designed to protect the insured


3. During the renewal process, which tool keeps the broker on track and protects against lawsuits by requiring the insured's signature?

A) Cover note
B) Flowchart
C) Checklist
D) Binder


4. An insured reports a loss to their broker and is subsequently contacted by an adjuster to discuss the claim. A few days later, the insured calls their broker to ask a question about their claim settlement. What is the best course of action for the broker to take?

A) Review the policy wordings with the insured
B) Advise the insured to contact the ombudsperson
C) Connect the insured with their loss adjuster to discuss the claim
D) Provide expected settlement values to the insured


5. Which statement about the expiry dates of binders is correct?

A) The expiry date must automatically be 30 days from the effective date of the policy.
B) An open expiry date should be used in case the delivery of the formal policy is delayed.
C) To minimize the risk of overlooking an expiring binder, the expiry date should fall on a business day.
D) Binders must include the statement "valid for one year."


Solutions:

Question # 1
Answer: D
Question # 2
Answer: A
Question # 3
Answer: C
Question # 4
Answer: C
Question # 5
Answer: C

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