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CAIB 4 CHAPTER 6 QUESTIONS WITH CORRECT ANSWERS

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CAIB 4 CHAPTER 6 QUESTIONS WITH CORRECT ANSWERS

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Explain the role of Facility Association in those provinces that do not have
government insurance plans.


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To ensure the availability of coverage for applicants who are refused
insurance by private insurers.




Identify 4 business uses of the automobile that must be disclosed to the insurer
because a special endorsement is required.


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, 1. Rented or leased to others
2. Used for carrying passengers for compensation or hire
3. Used for the carrying of explosives or radioactive material
4. Used for the transportation of goods for compensation




Identify the Automobile coverages that are available in your province and indicate
which are compulsory.


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Auto Policy Limits - $200,000 Bodily Injury - $180,000 Property Damage -
$20,000
All compulsory in Manitoba (6-4)




Define Uninsured Automobile


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is one in which neither the driver nor owner has applicable and collectible
bodily injury liability insurance.




Identify 3 conditions to meet before a claim will be paid for an unidentified
automobile under Subsection 3 (Section D in Atlantic Canada)


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1. Shown that the identity of either the owner or driver cannot be
ascertained

, 2. Accident reported to authorities within 24 hours
3. Statement must be filed under oath within 30 days




Section B is on a "no fault" basis. Explain what this means.


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There is no requirement to show that the insured was legally responsible
for the injuries caused to the claimant.




Identify 3 items of information about all drivers required in the application.


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1. Name of all drivers (as shown on driver's license)
2. Approximate percentage of use of the automobile
3. Number of years licensed




Explain the purpose of the "Unsatisfied Judgement Fund" or similar, (Section D for
students in Atlantic Canada)


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When losses are caused by uninsured drivers, the innocent victim may have
coverage




Identify 5 particulars of the "Described Automobile" required to be included in the
application

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