age 1 of 46
CAIB 1 FINAL EXAM STUDY GUIDE 2025/2026
ACCURATE QUESTIONS AND CORRECT DETAILED
ANSWERS WITH RATIONALES || 100% GUARANTEED
PASS <LATEST VERSION>
Define Loading .......Answer.........Additional rate charged over
and above the fire rate.
Define common carrier .......Answer.........Includes airline, railroads,
trucking companies, and others that furnish transportation to any
member of the public seeking their services.
Define "Bailee for Hire" .......Answer.........One who has temporary
custody of the personal property of another for a purpose other
than sale and who is compensated as a condition of such
custody.
,age 2 of 46
Define discovery period. .......Answer.........Time permitted by an
insurer, commencing with the expiry date of the policy, in which
a claim must be discovered by the insured if it is to be covered
by the policy.
Define contributing property .......Answer.........Manufacturer or
supplier upon whom the insured depends for materials or goods.
All of the following characteristics except one, are common to
Boiler and Machinery policies. Pick the exception.
A) insures objects against accidents.
B) excludes coverage for mechanical or electrical breakdown.
C) coverage is provided on a limit per accident basis.
D) insurer retains the right to suspend coverage immediately on
any object judged to be in a dangerous condition.
,age 3 of 46
.......Answer.........B) excludes coverage for mechanical or
electrical breakdown.
The builders risk broad form can be used to insure all of the
following property items at the project site, except one. Pick the
exception.
A) all materials and supplies to enter into and form part of the
completed project.
B) growing trees, plants, shrubs, and flowers.
C) temporary office used by the contractor.
D) contractors tools and equipment. .......Answer.........D)
contractors tools and equipment.
A common carrier is not liable to the owners of goods being
transported by it for the following loss: (pick the correct answer)
, age 4 of 46
A) spoilage of goods caused by the failure of refrigeration
equipment attached to transporting conveyance.
B) inherent vice in goods being transported.
C) damage to goods caused by an accident involving the
transporting conveyance.
D) a delay in shipment causing spoilage due to stock being
misdirected by the carrier at the point of shipment.
.......Answer.........B) inherent vice in goods being transported.
The safe burglary rider would pay for the following loss:
A) money taken from a locked cash drawer.
B) money and securities taken from an unlocked safe.
CAIB 1 FINAL EXAM STUDY GUIDE 2025/2026
ACCURATE QUESTIONS AND CORRECT DETAILED
ANSWERS WITH RATIONALES || 100% GUARANTEED
PASS <LATEST VERSION>
Define Loading .......Answer.........Additional rate charged over
and above the fire rate.
Define common carrier .......Answer.........Includes airline, railroads,
trucking companies, and others that furnish transportation to any
member of the public seeking their services.
Define "Bailee for Hire" .......Answer.........One who has temporary
custody of the personal property of another for a purpose other
than sale and who is compensated as a condition of such
custody.
,age 2 of 46
Define discovery period. .......Answer.........Time permitted by an
insurer, commencing with the expiry date of the policy, in which
a claim must be discovered by the insured if it is to be covered
by the policy.
Define contributing property .......Answer.........Manufacturer or
supplier upon whom the insured depends for materials or goods.
All of the following characteristics except one, are common to
Boiler and Machinery policies. Pick the exception.
A) insures objects against accidents.
B) excludes coverage for mechanical or electrical breakdown.
C) coverage is provided on a limit per accident basis.
D) insurer retains the right to suspend coverage immediately on
any object judged to be in a dangerous condition.
,age 3 of 46
.......Answer.........B) excludes coverage for mechanical or
electrical breakdown.
The builders risk broad form can be used to insure all of the
following property items at the project site, except one. Pick the
exception.
A) all materials and supplies to enter into and form part of the
completed project.
B) growing trees, plants, shrubs, and flowers.
C) temporary office used by the contractor.
D) contractors tools and equipment. .......Answer.........D)
contractors tools and equipment.
A common carrier is not liable to the owners of goods being
transported by it for the following loss: (pick the correct answer)
, age 4 of 46
A) spoilage of goods caused by the failure of refrigeration
equipment attached to transporting conveyance.
B) inherent vice in goods being transported.
C) damage to goods caused by an accident involving the
transporting conveyance.
D) a delay in shipment causing spoilage due to stock being
misdirected by the carrier at the point of shipment.
.......Answer.........B) inherent vice in goods being transported.
The safe burglary rider would pay for the following loss:
A) money taken from a locked cash drawer.
B) money and securities taken from an unlocked safe.
