2024/2025
1m|mPmamgme
m
CAIB 2 Questions and Answers
m m m m
Your mclient,mamretailmfashionmstore,mhasmjustmrentedmambusinessmpremisesmin mammall.mBe
foremopeningmyourmbusiness,mshemplansmtominstall mnewmwallmtomwallmcarpetingmandmin
stall mwall mpaneling.mThesemvaluesmwouldmbeminsuredmunder mthemamount mprovidedmfo
r:
A. Stock
B. Equipment
C. Building
D. Businessm Interruption
o :#m m B.mEquipment
Whilemthemlawmpermitsmtheminsurer mtomsurrogatemagainstmthempartymresponsiblemformthem
loss,mtheminsurermagreesmnotmtomexercisemthatmrightminmrespectmtomcertainmpartiesmundermt
hempolicy.mWhichmofmthemfollowingmpartiesmwouldmbemsurrogatesmagainsmin mthemevent m
ofmtheir mresponsibility?
A. insuredsm businessm partner
B. Mortgagee
C. Parentsmwhomprovidemfinancing
D. Independent m contractor
, 2024/2025
2m|mPmamgme
m
o :#m D.mIndependent mcontractor
Themcommercial mbuilding,mequipmentmandmstockm(broadmformmpolicy)minsuresmallmofmthemfo
llowingmexcept:
A. Theft mor mattemptedmtheft
B. Rupturemofmfreezing
C. Collapse
D. Mysteriousmdisappearance
o :#m D.mMysteriousmdisappearance
Under mamcommercialmpropertyminsurancempolicy,mwhichmofmthemfollowingmwouldmbemconsid
eredmequipment?
A. Photocopier mleasedmfrom mideal mcopiers
B. Advertisingmbrochuresmpromotingmnext mmonthsmendmsales
C. Customersmshoesmkept mon mpremisesmovernight mformrepair
D. Shoesmheldmon mconsignment
o :#m A.mPhotocopier mleasedmfrom mideal mcopiers
Themconsequential mlossmassumption mclausesmismdefinedmtominsured:
A. Damagemcausedmtomrefrigerator mormcoolingmequipment
B. Damagemcausedmbymfreezingmduemtompower mfailure
C. Lossmtomstock mduemtomlossmofmtemperature
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3m|mPmamgme
m
D. Contamination mofmstock mduemtomrupturemofmsupplympiping
o :#m C.mLossmtomstock mduemtomlossmofmtemperature
Themcoveragesmprovidedmbymthemcoveragesmprovidedmbymthemcontractorsmequipmentmfloater
mwouldminsuredmwhich mofmthemfollowingmlosses?
A. Damagemcausedmtomfrontmendmloadermduemtomfreezin
g
B. Crackingmofmenginemblock mon mcaterpillar mduemtomfreezing
C. Firemdamagemtomcontractorsmplans,mblueprints,mdesign mormspecifications
D. Sinkingmofmcaterpillarmwhilemoperatingmovermmuskeg
o :#m A.mDamagemcausedmtomfront mendmloader mduemtomfreezing
Themsafemburglarymrider mwouldminsuremonemofmthemfollowingmlosses:
A. Moneymtaken mfrom mlockedmcash mdrawer
B. Moneymandmsecuritiesmtakenmfrommanmunlockedmsaf
e
C. Moneymandmsecuritiesmtakenmfrommamlockedmsafembymthemburglar mwhomkne
wmitsmcombination
D. Removal mofmthemsafemfrom mthempremises
o :#m D.mRemoval mofmthemsafemfrom mthempremises
Theminsurancemindustrymreliesmon mthemclassificationsmdevelopedmbymthemfollowingmbody
mwhen mdeterminingmthemappropriatenessmofmthemprotection mprovidedmtompropertymbym
safes,vaultsmandmother:
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4m|mPmamgme
m
A. IAO
B. ULC
C. IBC
D. CanadamSafetymCouncil
o :#m B.mULC
All mofmthemfollowingmstatementsmexcept monemaremtruemwhen mtheminsuredsmbusinessmhasmbee
n minterruptedmbymorder mofmcivil mauthority.mPick mthemexception:
A. Insured'smbuildingmmustmhavemsufferedm physicalm damage
B. Coveragemismlimitedmtomammaximum mofmtwomweeks
C. Insuredmismentitledmtomrecover mlostmincomemevenmthroughmtheremhasmbeenmnomac
tual mdamagemtomtheminsuredmproperty
D. Order mmustmhavembeen mgivenmasmamdirect mresult mofmdamagemtomneighbouringmpremise
smbymamperil minsuredmagainst mon mtheminsuredsmown mpremises
o :#m A.mInsuredsmbusinessmmust mhavemsufferedmphysical mdamage
Accommodation mbusinessmismbest mdescribedmas:
A. Amspecializedmtypemofminsurancemriskmwhichmincludedmhotels,mmotels,mapartm
ent mbuildingsmandmrental mproperty
B. Amrisk mwhich mcan mbeminsuredmonlymunder mamsubscription mpolicy
C. Amrisk mwhichmismsubstandardmor mmarginal,mbut mwhich,mbecausemofmitsmrelationshipm
with mthembroker,mtheminsurer magreesmtomtomunderwrite
1m|mPmamgme
m
CAIB 2 Questions and Answers
m m m m
Your mclient,mamretailmfashionmstore,mhasmjustmrentedmambusinessmpremisesmin mammall.mBe
foremopeningmyourmbusiness,mshemplansmtominstall mnewmwallmtomwallmcarpetingmandmin
stall mwall mpaneling.mThesemvaluesmwouldmbeminsuredmunder mthemamount mprovidedmfo
r:
A. Stock
B. Equipment
C. Building
D. Businessm Interruption
o :#m m B.mEquipment
Whilemthemlawmpermitsmtheminsurer mtomsurrogatemagainstmthempartymresponsiblemformthem
loss,mtheminsurermagreesmnotmtomexercisemthatmrightminmrespectmtomcertainmpartiesmundermt
hempolicy.mWhichmofmthemfollowingmpartiesmwouldmbemsurrogatesmagainsmin mthemevent m
ofmtheir mresponsibility?
A. insuredsm businessm partner
B. Mortgagee
C. Parentsmwhomprovidemfinancing
D. Independent m contractor
, 2024/2025
2m|mPmamgme
m
o :#m D.mIndependent mcontractor
Themcommercial mbuilding,mequipmentmandmstockm(broadmformmpolicy)minsuresmallmofmthemfo
llowingmexcept:
A. Theft mor mattemptedmtheft
B. Rupturemofmfreezing
C. Collapse
D. Mysteriousmdisappearance
o :#m D.mMysteriousmdisappearance
Under mamcommercialmpropertyminsurancempolicy,mwhichmofmthemfollowingmwouldmbemconsid
eredmequipment?
A. Photocopier mleasedmfrom mideal mcopiers
B. Advertisingmbrochuresmpromotingmnext mmonthsmendmsales
C. Customersmshoesmkept mon mpremisesmovernight mformrepair
D. Shoesmheldmon mconsignment
o :#m A.mPhotocopier mleasedmfrom mideal mcopiers
Themconsequential mlossmassumption mclausesmismdefinedmtominsured:
A. Damagemcausedmtomrefrigerator mormcoolingmequipment
B. Damagemcausedmbymfreezingmduemtompower mfailure
C. Lossmtomstock mduemtomlossmofmtemperature
, 2024/2025
3m|mPmamgme
m
D. Contamination mofmstock mduemtomrupturemofmsupplympiping
o :#m C.mLossmtomstock mduemtomlossmofmtemperature
Themcoveragesmprovidedmbymthemcoveragesmprovidedmbymthemcontractorsmequipmentmfloater
mwouldminsuredmwhich mofmthemfollowingmlosses?
A. Damagemcausedmtomfrontmendmloadermduemtomfreezin
g
B. Crackingmofmenginemblock mon mcaterpillar mduemtomfreezing
C. Firemdamagemtomcontractorsmplans,mblueprints,mdesign mormspecifications
D. Sinkingmofmcaterpillarmwhilemoperatingmovermmuskeg
o :#m A.mDamagemcausedmtomfront mendmloader mduemtomfreezing
Themsafemburglarymrider mwouldminsuremonemofmthemfollowingmlosses:
A. Moneymtaken mfrom mlockedmcash mdrawer
B. Moneymandmsecuritiesmtakenmfrommanmunlockedmsaf
e
C. Moneymandmsecuritiesmtakenmfrommamlockedmsafembymthemburglar mwhomkne
wmitsmcombination
D. Removal mofmthemsafemfrom mthempremises
o :#m D.mRemoval mofmthemsafemfrom mthempremises
Theminsurancemindustrymreliesmon mthemclassificationsmdevelopedmbymthemfollowingmbody
mwhen mdeterminingmthemappropriatenessmofmthemprotection mprovidedmtompropertymbym
safes,vaultsmandmother:
, 2024/2025
4m|mPmamgme
m
A. IAO
B. ULC
C. IBC
D. CanadamSafetymCouncil
o :#m B.mULC
All mofmthemfollowingmstatementsmexcept monemaremtruemwhen mtheminsuredsmbusinessmhasmbee
n minterruptedmbymorder mofmcivil mauthority.mPick mthemexception:
A. Insured'smbuildingmmustmhavemsufferedm physicalm damage
B. Coveragemismlimitedmtomammaximum mofmtwomweeks
C. Insuredmismentitledmtomrecover mlostmincomemevenmthroughmtheremhasmbeenmnomac
tual mdamagemtomtheminsuredmproperty
D. Order mmustmhavembeen mgivenmasmamdirect mresult mofmdamagemtomneighbouringmpremise
smbymamperil minsuredmagainst mon mtheminsuredsmown mpremises
o :#m A.mInsuredsmbusinessmmust mhavemsufferedmphysical mdamage
Accommodation mbusinessmismbest mdescribedmas:
A. Amspecializedmtypemofminsurancemriskmwhichmincludedmhotels,mmotels,mapartm
ent mbuildingsmandmrental mproperty
B. Amrisk mwhich mcan mbeminsuredmonlymunder mamsubscription mpolicy
C. Amrisk mwhichmismsubstandardmor mmarginal,mbut mwhich,mbecausemofmitsmrelationshipm
with mthembroker,mtheminsurer magreesmtomtomunderwrite
