CII IF1 : Insurance Legal and Regulatory (IF1) Exam

IF1 real exams

Exam Code: IF1

Exam Name: Insurance Legal and Regulatory (IF1) Exam

Updated: Sep 15, 2026

Q & A: 100 Questions and Answers

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CII IF1 Exam Syllabus Topics:

SectionObjectives
Legal Principles Relevant to Insurance- Law of tort
  • 1. Duty of care and liability
    • 2. Negligence principles
      - Law of contract
      • 1. Terms of contract and breach
        • 2. Formation of contracts
          Agency and Insurance Practice- Authority and responsibilities of agents and brokers
          - Principles of agency law
          Insurance Regulation and Compliance- Ethics and professional standards
          - Conduct of business rules and consumer protection
          - Regulatory framework in the UK (FCA and PRA)
          Insurance Principles and Practice- Claims handling and underwriting basics
          - Principles of insurance (insurable interest, utmost good faith, indemnity)
          Insurance Market and Environment- Structure of the UK insurance market
          - Key participants and their roles (insurers, brokers, intermediaries)
          - Types of insurance products and services

          CII Insurance Legal and Regulatory (IF1) Sample Questions:

          Question #1

          What is the current rate of Insurance Premium Tax for a motor insurance policy?

          • A. 9.5%
          • B. 12%
          • C. 10%
          • D. 20%
          Reveal Solution  Discussion  0

          Correct Answer: B  🗳️

          Question #2

          A policyholder achieves peace of mind when insuring his car by

          • A. eliminating the risk of loss.
          • B. preventing the chance of a loss occurring.
          • C. transferring the risk to the insurer.
          • D. reducing the chance of a loss occurring.
          Reveal Solution  Discussion  0

          Correct Answer: C  🗳️

          Question #3

          Who cedes business to a reinsurer?

          • A. The insured.
          • B. The agent.
          • C. The insurer.
          • D. The assessor.
          Reveal Solution  Discussion  0

          Correct Answer: C  🗳️

          Question #4

          A survey of a car repairers reveals a spray booth exists by an unguarded paraffin space beater. Also, a day's supply of paint is kept within the building and waste is removed daily from a metal bin. What will the underwriter perceive as the main physical hazard?

          • A. The waste bin.
          • B. The paint.
          • C. The unguarded paraffin space heater.
          • D. The spray booth.
          Reveal Solution  Discussion  0

          Correct Answer: C  🗳️

          Question #5

          A Terms of Business Agreement between an insurer and an intermediary sets out the

          • A. agreed claims procedures as stated in the Insurance: Conduct of Business sourcebook (ICOBS).
          • B. disaster recovery procedures to apply if there is a major disaster affecting the insurer.
          • C. criteria to apply when reporting suspicious incidents to the Money Laundering Reporting Officer.
          • D. framework for the commercial relationship, which defines and allocates the respective responsibilities and rights to each party.
          Reveal Solution  Discussion  0

          Correct Answer: D  🗳️

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