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CII IF1 Exam Syllabus Topics:
| Section | Objectives |
|---|---|
| Legal Principles Relevant to Insurance | - Law of tort
|
| 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:
What is the current rate of Insurance Premium Tax for a motor insurance policy?
- A. 9.5%
- B. 12%
- C. 10%
- D. 20%
Correct Answer: B 🗳️
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.
Correct Answer: C 🗳️
Who cedes business to a reinsurer?
- A. The insured.
- B. The agent.
- C. The insurer.
- D. The assessor.
Correct Answer: C 🗳️
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.
Correct Answer: C 🗳️
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.
Correct Answer: D 🗳️






