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CII IF1 Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Ethics and Professional Standards | 3% | - CII Code of Ethics - Application to insurance scenarios |
| Compulsory Insurance and Legislation | 3% | - Statutory requirements for compulsory insurance - Key relevant statutes |
| UK Regulatory Framework | 12% | - Insurance Distribution Directive (IDD) - ICOBS rules and conduct standards - Role of PRA and FCA - Authorisation and supervision |
| Consumer Protection and Dispute Resolution | 8% | - Complaints handling procedures - Financial Services Compensation Scheme (FSCS) - Consumer Insurance (Disclosure and Representations) Act 2012 - Financial Ombudsman Service (FOS) |
| Proximate Cause | 2% | - Definition and identification - Application to claims settlement |
| Principle of Utmost Good Faith | 11% | - Remedies for breach of duty - Duty of disclosure and representation - Insurance Act 2015 provisions |
| Risk and Insurance | 10% | - Concepts of risk and types of risk - Features of insurable risk - Risk management and control methods |
| Nature and Structure of Insurance | 14% | - Market structures and distribution channels - Purpose and benefits of insurance - Classification of insurance business - Participants in the insurance market |
| Contribution and Subrogation | 6% | - Right of contribution between insurers - Right of subrogation and its limits |
| Principle of Insurable Interest | 5% | - Definition and legal basis - When insurable interest must exist - Application in different insurance types |
| Contract and Agency Law | 9% | - Law of agency and authority - Application to insurance contracts - Essentials of a valid contract |
| Principle of Indemnity | 7% | - Exceptions to indemnity - Meaning and purpose of indemnity - Average clause application - Methods of providing indemnity |
CII Insurance Legal and Regulatory (IF1) Sample Questions:
1. A risk control survey shows that premises proposed for insurance are in close proximity to a river with a history of flooding. The underwriter will consider this fact to be a
A) fundamental risk.
B) pure risk.
C) physical hazard.
D) moral hazard.
2. Michael, an insurance company employee, strongly suspects that a recent transaction involved money laundering but decides NOT to report his suspicions to anyone. How is this treated under the current Money Laundering Regulations?
A) It is a criminal offence.
B) It is a disciplinary offence dealt with by the Money Laundering Joint Steering Committee.
C) It is a disciplinary offence under the Banking Code.
D) It is a civil offence.
3. In a chain of events, the proximate cause of a loss is always the
A) last event before the loss occurs.
B) dominant event leading to the loss.
C) only event contributing towards the loss.
D) only event which is not excluded by the terms of the policy.
4. To whom, if anyone, can an agent normally delegate the responsibility imposed on net under an agency agreement?
A) To suitably experienced individuals only.
B) The agent cannot delegate her responsibility.
C) To suitably qualified individuals only.
D) To anyone able to fulfil the duties.
5. Under the provisions of the Financial Services Act 2012. what action, if any, can the regulator take against a firm that has committed money laundering offences?
A) Arbitration.
B) Criminal prosecution.
C) No action can be taken.
D) Civil proceedings.
Solutions:
| Question # 1 Answer: C | Question # 2 Answer: B | Question # 3 Answer: B | Question # 4 Answer: B | Question # 5 Answer: B |






