RIBO EXAM (practice online) 2025/2026 – 148 Questions with Verified Answers

RIBO EXAM (practice online) 2025/2026 – 148 Questions with Verifie
Answers



1. Risk: Chance of Loss- where the object of insurance maybe exposed

2. Peril: Cause of loss (wind, fire, water)

3. Indemnification: When insurer provides exact amount of loss, no more no less - provided in money or
another item of similar value

4. Covered losses: Accidental and future (not on purpose or in the past)

5. Alternatives to payment: Repair or replacement

6. three types of insurers: Stock-Operates on private funds from the stock market
mutuals- owned by its policyholders and aims to give the lowest cost

government- public

7. Broker/agent- who do they work on behalf of?: Broker- their client
agent-their company

8. Floaters cover property having a : High degree of mobility

9. Within travel health insurance, pre-existing conditions are covered provided
clients receive no treatment, change in medication or medical consultation in the
days prior to departure: 90 days

10. Brokers should hold unearned commissions to refund their clients in the
event the policy is cancelled prior to its expiry date.: in trust

11. Can you insure more than one vehicle on the same policy: no

,12. The RIBO Qualifications and Registration Committee is responsible for es-
tablishing and maintaining standards of competence for insurance brokers,
including and providing information and assistance to brokers: exams

13. insures the legal liability of medical professionals arising out of render-
ing or failure to render professional services: malpractice insurance

14. is essential for contractors and others whose work may result in injury or
damage when such work is put to its intended use: completed operations coverage

15. The most practical and common means of dealing with risk in Canada is: the
transfer of risk to an insurance company

16. acknowledges changes to the terms in the insurance contract: both endorse-
ments and riders

17. are rules and regulations governing the rights and responsibilities of all
parties to a contract of insurance: statutory conditions

,18. In Ontario, the automobile insurance application requires that the insured
g g g g g g g g g




provide an insurance history for the last
g g years, so that the insurer can
g g g g g g g g g g g




assess the risk and determine the premium: 6
g g g g g g g g




19. When one insurer transfers or cedes a portion of its risk to another insurer, this
g g g g g g g g g g g g g g




is called
g g : reinsurance g g




20. A surety guarantee made by a contractor when a contractor bids on a tender for
g g g g g g g g g g g g g g




construction of a large project is called a
g , and it guarantees that
g g g g g g g g g g g g




the contactor will enter into a contact to perform the work at the tendered price
g g g g g g g g g g g g g g g




and provide whatever security is specified to ensure performance of the contract:
g g g g g g g g g g g g




bidbond
g g




21. In Quebec, the government maintains a monopoly on
g g g g g g g g for automobile g




accidents occurring in that province; other coverages may be purchased from
g g g g g g g g g g




gprivate insurers except: personal injury costs
g g g g g




22. When an insurer intentionally issues a policy that differs from the applica-
g g g g g g g g g g g




tion,
g : insurer must notify the insured in writing the ways in which it ditters from the application
g g g g g g g g g g g g g g g g g




23. When there is a property insurance claim, in order to check the limit of the
g g g g g g g g g g g g g g




insured's insurance, the insurance adjuster checks the
g g : insureds policy g g g g g g g g




24. The license term (# of yrs) for an insurance broker in Canada is
g g g g g g g g g g g g : variesprovince
g g




by province
g g




25. covered or not? ground water or rising of the water table, or surface water: no
g g g g g g g g g g g g g g




26. The ongoing process whereby an automobile decreases in value as it ages is called
g g g g g g g g g g g g g g




: depreciation
g

, 27. An insurance brokers license can be terminated for
g g g g g g g g : unethical conduct
g g




28. The policy insures blanket contractual, contingent employer's and
g g g g g g g




owner's and contractor's protective liability for retail stores, offices and
g g g g g g g g g g




gother businesses: commercial general liability
g g g g




29. The department of an insurance company includes human resources,
g g g g g g g g




legal, management of information systems.: administration
g g g g g g




30. In Ontario, the standard behaviour of insurance brokers is described in
g g g g g g g g g g g : RIB
g




Act
g




31. insurance will only pay if: in the event of the happening of a certain risk or peril
g g g g g g g g g g g g g g g g