IIC C11 : Principles and Practice of Insurance

  • Exam Code: C11
  • Exam Name: Principles and Practice of Insurance
  • Updated: Sep 16, 2026
  • Q & A: 103 Questions and Answers

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IIC C11 Exam Syllabus Topics:

SectionObjectives
Legal Principles of Insurance- Contract Law Basics
  • 1. Utmost good faith principle
    • 2. Formation of insurance contracts
      - Insurable Interest and Indemnity
      • 1. Principle of indemnity and application
        • 2. Insurable interest requirements
          Insurance Principles- Insurance Market Structure
          • 1. Roles of insurers, brokers, and intermediaries
            • 2. Regulatory environment overview
              - Fundamentals of Insurance
              • 1. Risk concepts and risk pooling
                • 2. Nature and purpose of insurance
                  Insurance Practice- Underwriting and Pricing
                  • 1. Premium calculation principles
                    • 2. Risk assessment methods
                      - Claims Handling
                      • 1. Claims process stages
                        • 2. Fraud detection and prevention

                          IIC Principles and Practice of Insurance Sample Questions:

                          Question #1

                          What are many of the statutory conditions designed to accomplish?

                          • A. Outline the steps to take to cancel the policy
                          • B. Shift the onus of proof from the insured to the insurer
                          • C. Provide clarity on the intent of the policy
                          • D. State how PIPEDA applies to the insured and insurer
                          Reveal Solution  Discussion  0

                          Correct Answer: C  🗳️

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                          Question #2

                          Stuart sells his vehicle and cancels his auto policy. The insurer refunds the full unearned portion of the premium. What type of cancellation is this?

                          • A. Pro rata
                          • B. Fully fixed
                          • C. Non-adjusted rate
                          • D. Total rate
                          Reveal Solution  Discussion  0

                          Correct Answer: A  🗳️

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                          Question #3

                          What type of wording is written on a custom basis for a specific situation?

                          • A. Chattel
                          • B. Standard
                          • C. Manuscript
                          • D. Treaty
                          Reveal Solution  Discussion  0

                          Correct Answer: C  🗳️

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                          Question #4

                          Antonio lights a firecracker and throws it to Brett. Brett tosses it to Sandra. Sandra catches it and throws it to Celina. It explodes in Celina's hands, injuring her. Who is the immediate cause of the loss?

                          • A. Sandra
                          • B. Brett
                          • C. Antonio and Brett
                          • D. Celina and Antonio
                          Reveal Solution  Discussion  0

                          Correct Answer: A  🗳️

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                          Question #5

                          Why would a policyholder use an intermediary?

                          • A. They represent all insurers
                          • B. They have unlimited liability
                          • C. They help to identify clients' insurance needs
                          • D. They make reinsurance arrangements for clients
                          Reveal Solution  Discussion  0

                          Correct Answer: C  🗳️

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