Latest CII E05 Exam questions and answers [Q24-Q42]

QUESTION 24
The principle of subrogation prevents a policyholder from profiting from

QUESTION 25
Adam was bitten by a stray dog in Africa. He washed his wound in a pond and a week later he became very ill with a high temperature. Initially, the local hospital treated him for malaria and later treated him for the fever following the dog bite. Adam died in hospital. What is the proximate cause of his death?

QUESTION 26
For this question more than 1 option is correct. You must select all the correct options to gain the mark. Which special defences are available to the fort of libel?

QUESTION 27
Two liability policies with different insurers cover the same loss of £15,000,000. The limit of liability is
£10,000,000 under policy X and £20,000,000 under policy Y. Neither policy has a non-contribution clause.
What amount will policy Y contribute towards the claim payment?

QUESTION 28
Tim is a local insurance broker. He has authority to receive premiums for a personal lines insurer and earns commission from the insurer for sales. Paul, an elderly customer, asked Tim for advice regarding his personal insurance requirements and to assist with completing the proposal form for household insurance. In these circumstances, who, if anyone, is Tim’s principal?

QUESTION 29
Ambiguous terms in a household insurance contract are generally construed against the

QUESTION 30
As a result of a breach of good faith under a commercial insurance policy, the insurer avoided the policy as a whole, but was NOT permitted to retain the premium because

QUESTION 31
For this question more than 1 option is correct. You must select fill the correct options to gain the mark. In what circumstances would an agency agreement be automatically terminated?

QUESTION 32
A warranty in Emily’s personal travel insurance policy states that cash must be kept in a locked safe. Whilst on holiday, a storm destroys her hotel and its contents. When Emily completes a claim form for loss of money, she admits that her cash was NOT locked in the safe. What will be the insurer’s likely response to her claim for the lost money?

QUESTION 33
Why may an insurer insert a continuing warranty into an insurance policy?

QUESTION 34
For this question more than 1 option is correct. You must select all the correct options to gain the mark. What are the main sources of new English Law?

QUESTION 35
Dan made a financial arrangement on behalf of Liz. However, Liz had the arrangement set aside by the court on the basis that she had been unduly influenced by Dan. To establish undue influence, the court must have specifically identified Dan as

QUESTION 36
In the tort of negligence, a primary victim of nervous shock is a class of person who suffers psychiatric injury

QUESTION 37
In respect of a life assurance policy, the duty to take reasonable care NOT to make a misrepresentation ends when the proposer

QUESTION 38
The proximate cause of a loss is best described as the

QUESTION 39
What is the most common for of corporation?

QUESTION 40
When, if at all, does the duty of fair presentation of a risk apply after a non-consumer insurance contract has been formed?

QUESTION 41
According to statute, a term under a consumer personal accident insurance policy may potentially be considered unfair if the insurer

QUESTION 42
Insurance agencies are usually created by way of