Insurance Questions and Answers
Test and improve on your knowledge of insurance with these Insurance questions and answers. This aptitude test assesses your understanding of the fundamental concepts of insurance.
Test and improve on your knowledge of insurance with these Insurance questions and answers. This aptitude test assesses your understanding of the fundamental concepts of insurance.
The second document issued to the Eke is
satisfaction note
renewal notice
proposal form
certificate of insurance
Correct answer is D
A certificate of insurance is a document used to provide information on specific insurance coverage. The certificate provides verification of the insuranceand usually contains information on types and limits of coverage, insurance company, policy number, named insured, and the policies' effective periods.
The document issued to Eke within one week of the contract is
cover note
proposal form
satisfaction note
renewal notice
Correct answer is A
A cover note is a temporary document issued by an insurance company that provides proof of insurance coverage until a final insurance policy can be issued. Acover note is different from a certificate of insurance or an insurance policy document.
Eke bought a new car for N1.5M. The practice in the insurance idustry is to pay 10% of the value of the vehicle as premium for comprehensive cover and 2.5% additional cover for strike, riot and civil commotion. Eke was issued a document and two weeks later, he was issued another document different from the first document issued
What is the premium payable for the comprehensive cover
N37,000
N150,000
N155,000
N187,500
Correct answer is D
comprehensive cover = 10% + 2.5% of N1.5M
150,000 + 37,500 = 187500
The claims on kayode's shop would be paid by
musa and okon insurance company
musa insurance company
okon insurance company
Mr Adekunle only
Correct answer is A
The principle of contribution comes in play here. The principle holding that two or more insurers each liable for a covered loss should participate in the payment of that loss. Having paid its share of a loss, an insurer may be entitled to equitable contribution—a legal right to recover part of the payment from another insurer whose policy was also applicable.
Adekunle bought a car for N2,000,000. he insured it with musa insurance company and okon insurance company for N600,000 and N800,000 respectively. on his way to his office, he had an accident which destroyed his windscreen valued at N30,000 and kayode's shop valued at N15,000.
The maximum aount to be paid for kayode's shop that was damged is
N15,000
N30,000
N45,000
N60,000
Correct answer is A
No explanation has been provided for this answer.