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CII IF1 Exam Syllabus Topics:
| Section | Objectives |
|---|---|
| Risk and Risk Management | - Understand the nature and main features of risk within the insurance environment - Apply main features of risk and risk management to scenarios |
| Insurance Fundamentals | - Know the structure and main features of the insurance market - Understand the main features of insurance |
| Regulation and Legal Requirements | - Understand main regulatory and legal requirements applicable to insurance business - Understand consumer protection and dispute resolution - Know methods of preventing, handling and resolving consumer complaints |
| Key Insurance Principles | - Understand the principles of contribution and subrogation - Understand the principle of indemnity - Understand the principle of good faith - Understand the doctrine of proximate cause |
| Principles of Contract and Agency | - Understand contract and agency - Understand the principle of insurable interest |
| Professional and Ethical Standards | - Understand the CII Code of Ethics and apply principles to non-complex scenarios |
CII Insurance Legal and Regulatory (IF1) Sample Questions:
1. The purpose of the EU solvency requirements for insurers and intermediaries is to
A) introduce monitoring procedures by the Prudential Regulation Authority.
B) provide authorisation to transact insurance business.
C) strengthen the financial security of the insurer or intermediary.
D) create a standard format for the presentation of accounting data.
2. When completing a proposal form, Tom declares that he has two spent speeding convictions. How, if at all, will the spent convictions affect an underwriter's decision to write the risk?
A) They will be classed as relevant information and will affect the premium.
B) They will not be considered as this is not an underwriting factor in motor insurance risk assessment.
C) They will only be considered if Tom had a further speeding conviction in the last 12 months.
D) They will be ignored in accordance with the provisions of the Rehabilitation of Offenders Act 1974.
3. Harry owns a sports car valued at £1.000 and agrees to sell it to Ben for £500. Ben discusses this with his solicitor who states the contract is
A) unenforceable unless Harry signs a disclaimer acknowledging the consideration as acceptable.
B) unenforceable as the consideration is inadequate.
C) enforceable as consideration does not need to be adequate.
D) enforceable but only if Harry does not refute the contract within six months of the contract date.
4. How is Insurance Premium Tax collected within the UK?
A) By the insurer on the whole general and life accounts.
B) By the insurer on individual insurance contracts.
C) By HM Revenue & Customs on individual insurance contracts.
D) By HM Revenue & Customs on the whole general account.
5. Who can place business directly with a Lloyd's underwriter?
A) Lloyd's agents.
B) Lloyd's brokers and other intermediaries.
C) Members of the public.
D) Lloyd's brokers only.
Solutions:
| Question # 1 Answer: D | Question # 2 Answer: D | Question # 3 Answer: C | Question # 4 Answer: A | Question # 5 Answer: B |




