CII E05 Q&A - in .pdf

  • E05 pdf
  • Exam Code: E05
  • Exam Name: Examination element of M05 Insurance law
  • Updated: May 27, 2026
  • Q & A: 52 Questions and Answers
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  • Exam Code: E05
  • Exam Name: Examination element of M05 Insurance law
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  • Updated: May 27, 2026
  • Q & A: 52 Questions and Answers
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CII E05 Q&A - Testing Engine

  • E05 Testing Engine
  • Exam Code: E05
  • Exam Name: Examination element of M05 Insurance law
  • Updated: May 27, 2026
  • Q & A: 52 Questions and Answers
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CII Examination element of M05 Insurance law Sample Questions:

1. A professional indemnity policy includes a condition requiring that the insured must give prompt notice of any circumstance that could give rise to a claim. What type of condition is this?

A) A condition precedent to the contract.
B) A collateral condition.
C) A condition precedent to liability.
D) A suspensive condition.


2. When, if at all, does the duty of fair presentation of a risk apply after a non-consumer insurance contract has been formed?

A) From the date of a breach of warranty.
B) Where there is a variation in the insured risk.
C) On submission of a claim.
D) It does not apply as the duty is to take reasonable care not to make a misrepresentation.


3. Why may an insurer insert a continuing warranty into an insurance policy?

A) To ensure that underinsurance is avoided at all times.
B) To enable an insurer to charge an additional premium if the warranty is continually breached.
C) To maintain the annual aggregate limit of liability throughout the policy period.
D) To encourage good risk management by the insured throughout the policy period.


4. In what circumstances is abandonment automatic under a marine hull insurance policy?

A) The insured has sent a formal notice of abandonment.
B) The actual total loss of the vessel.
C) The constructive total loss of the vessel.
D) The insured has performed an action of abandonment.


5. According to statute law, an unfair term in a consumer insurance contract is defined as one which

A) provides insurance where the scope of cover is narrow compared to the premium charged.
B) does not restrict liability for death or personal injury.
C) has been individually negotiated and is to the detriment of either one of the parties.
D) causes a significant imbalance in the parties' rights to the detriment of the consumer.


Solutions:

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

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