Risk 13

The flashcards below were created by user kpuls1 on FreezingBlue Flashcards.

  1. Name the three types of insurance and what they relate to?
    • -Socail insurance
    • -Life/health insurance
    • -Property/casualty insurance
  2. In Ontario, is the government involved in property and casualty insurance?
  3. Which insurances are adventure companies most involved with?
    Property/ casualty insurance
  4. What does the word “premium” mean?
    essentially the sales for an insurance company- premium is the price of insurance
  5. Name the 5 main players in the P&C (property and casualty) industry. Define any terms you do not know.
    • The insured,
    • the interniary
    • insurer
    • re-insurer
    • regulators
  6. In the marketplace, when supply exceeds demand, what happens to prices?
    Price are driven down-lower
  7. How do insurance companies price premiums?
    by claim costs
  8. What is an underwriting profit?
    process of evaluating risk and establishing appiopriate premium
  9. What is the general definition of insurance (not the Act)?
    Sharing the losses of a few among many members of a group
  10. What is insurance not?
    not an investment
  11. An insurance policy is evidence of a contract. What three additional requirements does the government state that a contract must have?
    • insurable interest
    • most be risk + indenity
  12. Give an example of breaking the utmost good faith.
    if applying for life insurance, not telling about previous medical conditions
  13. Name the 5 parts of an insurance policy (other than liability).
    • declartions
    • liverage
    • stataty conditions
    • policy conditions
    • signatue close
  14. In a liability policy, what is an endorsement used for?
    to make change to an insurance policy
  15. Describe the underwriting process.
    Assessing risk based on factors making premium and terms
  16. What is the difference between a peril and a hazard?
    peril is an event that may cause a loss to occur hazardly
  17. What is the golden rule when deciding how much insurance to purchase?
    buy insurance based more on what you cant afford to lose than on what you can afford.
  18. Most adventure operators will be interested in liability insurance. What does it do?
    protects agaist law suits, liability arising from the conduct of theis business
  19. What does CGL mean?
    Command general liability
  20. What 4 coverages does CGL provide for?
    • bodily injury
    • property damage
    • medical
    • tendent legal liability
  21. If you were an operator, which coverage would you prefer, an occurrence policy or a claims-made policy?
    occurance polices
  22. Insurance has limits, or maximums for payout. What is the difference between aggregate and occurrence limits?
    • aggreagte max payable for occurance
    • occurance max payable for occurance combination
  23. Most policies have a deductible. What is a deductible and how might a waiver form be attached to a deductible?
    amout of the lose which the insured must pay
  24. What items does Property Insurance not cover?
    • automobles
    • aircrafts
    • water craft
    • snow craft
  25. If you were an operator, would you want an All-risk or a Named Peril policy?
    all risk-policy
  26. Which insurance do you think will cost more, Actual cash value or Replacement cost? WHY????
    replacement -because the item in question may be old and worth less but to replace it may ne very expensive.
Card Set:
Risk 13
2012-04-17 16:03:49
Risk 13

Risk 13
Show Answers: