Online Access Free C130 Exam Questions

Trevor is cutting down a tree in his backyard. The tree accidentally falls onto his neighbour's shed, destroying the roof. Two weeks later, Trevor receives a document from his neighbour suing him for the damages to the shed and its contents. Which document has Trevor received?

• A.Judgment notice
• B.Statement of claim
• C.Damages attestation
• D.Statement of defence

In law, what does the term prescription mean?

• A.Guidelines relating to the acceptability of a class of risk
• B.Transferring of the rights for action against the responsible party to the insurer
• C.Limited time after which a cause of action ceases
• D.Committing to an automatic renewal process

Why would an insured need an advertising injury liability extension in addition to the coverage provided by the standard commercial general liability policy?

• A.To protect against infringement of the insured's copyright, trade dress, or slogan
• B.To protect against unauthorized use of the insured's idea
• C.To cover the liability arising from an invasion of privacy in written publications
• D.To cover the liability arising out of advertising the goods and services of the business

Michelle is a new agent who would like to protect herself against possible errors and omissions claims. What should Michelle practice in her interactions with clients and insurers?

• A.Offer advice to clients if she thinks it is beneficial, even if it is outside her area of expertise
• B.Recommend that clients consult with experts outside the insurance field if a situation calls for it
• C.Ensure all communication with clients and insurers is done face-to-face
• D.Use close-ended questions with clients at all times

Miro's vehicle and Stephanie's vehicle collide with each other in New Brunswick. Neither of them has loss or damage coverage, also known as collision coverage. The chart shows the physical damage and assigned fault.
How would the payment be apportioned?
Driver | Physical Damage | Fault Percent
Miro | $4,000 | 50%
Stephanie | $2,000 | 50%

• A.Miro can collect $2,000 from his insurer and $2,000 from Stephanie's insurer; Stephanie can collect
  $1,000 from her insurer and $1,000 from Miro's insurer.
• B.Miro can collect $2,000 from his insurer; Stephanie can collect $1,000 from her insurer.
• C.Miro can collect $2,000 from his insurer and $1,000 from Stephanie's insurer; Stephanie can collect
  $1,000 from her insurer and $500 from Miro's insurer.
• D.Miro can collect $4,000 from his insurer; Stephanie can collect $2,000 from her insurer. Miro's insurer will subrogate against Stephanie's insurer for $2,000 and Stephanie's insurer will subrogate against Miro's insurer for $1,000.