IIC C11 : Principles and Practice of Insurance

Pass C11 Exam Cram

Exam Code: C11

Exam Name: Principles and Practice of Insurance

Updated: Aug 24, 2026

Q & A: 103 Questions and Answers

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IIC C11 Exam Syllabus Topics:
SectionObjectives
Legal Principles of Insurance- Insurable Interest and Indemnity
  • 1. Principle of indemnity and application
    • 2. Insurable interest requirements
      - Contract Law Basics
      • 1. Formation of insurance contracts
        • 2. Utmost good faith principle
          Insurance Principles- Fundamentals of Insurance
          • 1. Nature and purpose of insurance
            • 2. Risk concepts and risk pooling
              - Insurance Market Structure
              • 1. Regulatory environment overview
                • 2. Roles of insurers, brokers, and intermediaries
                  Insurance Practice- Underwriting and Pricing
                  • 1. Premium calculation principles
                    • 2. Risk assessment methods
                      - Claims Handling
                      • 1. Fraud detection and prevention
                        • 2. Claims process stages
                          IIC Principles and Practice of Insurance Sample Questions:

                          1. Which type of policy must be signed by a member of each participating insurer?

                          A) Prescription
                          B) Subrogation
                          C) Subscription
                          D) All-inclusive


                          2. What is needed to change older statutes that tend to be all-inclusive statements of law on a particular subject?

                          A) Bill presented by a member of the congress
                          B) Vote by the populace
                          C) Approval from the Supreme Court of Canada
                          D) Act of legislature


                          3. What should an insurer do if it wishes to have additional terms incorporated in an interim cover?

                          A) Set the terms down in writing
                          B) Rely on Statutory Conditions / General Conditions
                          C) Verbally declare its intent to the intermediary
                          D) Avoid releasing an interim cover prior to policy inception


                          4. Jack is a first-time homeowner. How can he mitigate his risk?

                          A) Decrease his volume of risk
                          B) Increase his volume of risk
                          C) Purchase many different kinds of goods
                          D) Purchase insurance


                          5. What is a post-loss objective of risk management for an organization?

                          A) External development
                          B) Peace of mind
                          C) Internal obligations
                          D) Stable earnings


                          Solutions:

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

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