IIC C11 Q&A - in .pdf

  • Exam Code: C11
  • Exam Name: Principles and Practice of Insurance
  • Updated: Aug 23, 2026
  • Q & A: 103 Questions and Answers
  • PDF Price: $59.99
  • Printable IIC C11 PDF Format. It is an electronic file format regardless of the operating system platform.
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IIC C11 Q&A - Testing Engine

  • Exam Code: C11
  • Exam Name: Principles and Practice of Insurance
  • Updated: Aug 23, 2026
  • Q & A: 103 Questions and Answers
  • Install on multiple computers for self-paced, at-your-convenience training.
  • PC Test Engine Price: $59.99
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IIC C11 Exam Syllabus Topics:

SectionWeightObjectives
Topic 1: Introduction to Insurance10–15%- Purpose and function of insurance
- Basic concepts: risk, peril, hazard
- Role of insurance in economy and society
Topic 2: Insurance Industry Structure and Stakeholders15–20%- Insurers, intermediaries, regulators
- Legislation and regulation in Canada
- Roles: underwriting, claims, reinsurance
Topic 3: Risk Management and Application15–20%- Ethics and professional conduct
- Risk identification, assessment, treatment
- Application of principles to personal and commercial contexts
Topic 4: Insurance Policy Structure and Provisions20–25%- Interpretation of policy wording
- Policy components: declarations, insuring agreement, exclusions, conditions
- Endorsements and modifications
Topic 5: Legal Principles of Insurance20–25%- Contract law fundamentals
- Principle of indemnity
- Subrogation and contribution
- Insurable interest, utmost good faith

IIC Principles and Practice of Insurance Sample Questions:

1. A commercial brokerage failed to advise the insurer of a client's modified risk. The insurer discovered this only at the time of a major loss and denied the claim due to material change. How will the client MOST LIKELY proceed?

A) Pay for the loss, and oblige the brokerage to reimburse the deductible
B) Take legal action against the insurer, stating the insurer knew the full risk
C) Take legal action against the brokerage, stating it had a contractual responsibility to disclose the material change
D) Pay for the loss, and cancel the policy backdated to before the loss


2. If one in every five houses suffers a $50,000 loss each year, and all houses have the same value, what would the pure premium be for each homeowner?

A) $10,000
B) $5,000
C) $2,500
D) $100,000


3. Huronial Insurance Company submitted incorporation documents and received approval to sell personal-lines property and automobile policies. Which document will the Office of the Superintendent of Financial Institutions (OSFI) issue?

A) Order of commencement
B) Insurer of record
C) National insurance notice
D) Insurer establishment document


4. An insurer writes a $60,000,000 risk for a premium of $30,000. Using pro rata reinsurance, it transfers 25% of the risk to the reinsurer. The risk then suffers a $100,000 loss. How much does the reinsurer contribute to this loss?

A) $75,000
B) $100,000
C) $60,000
D) $25,000


5. Rashida claims she told her broker about the swimming pool when binding coverage. The adjuster disputes coverage because the insurer was not informed. What should have been done to prevent this dispute?

A) Insurer should have contacted Rashida directly before binding coverage
B) Broker should have requested Rashida send in a signed notice after issuance
C) Broker should have requested a witness during the oral application
D) Broker should have sent written confirmation to Rashida and the insurer


Solutions:

Question # 1
Answer: C
Question # 2
Answer: B
Question # 3
Answer: A
Question # 4
Answer: D
Question # 5
Answer: D

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