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Exam Code: E05
Exam Name: Examination element of M05 Insurance law
Updated: Sep 24, 2026
Q & A: 52 Questions and Answers
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| Section | Objectives |
|---|---|
| Key Legal Principles in Insurance | - Disclosure and misrepresentation - Insurable interest - Warranties and conditions - Utmost good faith (uberrimae fidei) |
| Insurance Contract Formation | - Policy wording and interpretation - Offer, acceptance, consideration, and intention to create legal relations |
| Principles of Insurance Law | - Nature and purpose of insurance law - Fundamental legal principles affecting insurance contracts |
| Liability and Tort Law | - Negligence principles - Occupiers’ liability - Vicarious liability |
| Claims and Remedies | - Claims handling process - Fraud and avoidance of policies - Subrogation and contribution |
Why may an insurer insert a continuing warranty into an insurance policy?
Correct Answer: D 🗳️
Bill owned a painting which was insured under a policy containing a first refusal clause. The painting was stolen and Bill's claim was settled, but several months later the painting was recovered by the police. As a consequence, what is Bill's position under his insurance policy?
Correct Answer: A 🗳️
Within what time period, from the date when the damage first began, does the owner of an office block have a right to sue the builder for negligent construction work?
Correct Answer: A 🗳️
What is the most common for of corporation?
Correct Answer: A 🗳️
A person insures her own life under a life insurance policy but does so expressly for the benefit of another. To facilitate this, which type of arrangement is most commonly established?
Correct Answer: C 🗳️
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