Pass test with the help of C131 actual exam materials
Last Updated: Jul 27, 2026
No. of Questions: 79 Questions & Answers with Testing Engine
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| Section | Objectives |
|---|---|
| Topic 1: Claims and Loss Handling | - Claims processes and documentation - Loss adjustment principles |
| Topic 2: Regulatory and Legal Environment | - Compliance and consumer protection - Insurance regulations in Canada |
| Topic 3: Risk and Insurance Fundamentals | - Risk identification and assessment - Insurance principles and coverage types |
| Topic 4: Underwriting and Policy Management | - Policy administration and endorsements - Underwriting guidelines and decision-making |
| Topic 5: Insurance Brokerage Practice | - Broker roles and responsibilities - Client relationship management - Professional ethics and conduct |
1. What coverage is generally provided by an accounts receivable floater?
A) Loss arising out of bookkeeping errors
B) Loss arising as a result of bad debts
C) Loss arising out of maintaining duplicate records offsite
D) Loss arising out of credit card receipts being destroyed by fire
2. After examining an organization's financial statements and accounting records, a broker decides that they would like to take the company on as a client. What did the broker determine during their examination that helped make this decision?
A) The organization is compliant with federal and provincial tax laws.
B) The organization is consistently profitable.
C) The organization has a captive company.
D) The organization has paid policy premiums on time for the last seven years.
3. Which type of property loss is commonly covered under the commercial property broad form (CPBF)?
A) Damage to automobiles
B) Loss of money and securities
C) Damage to a salesperson's samples
D) Loss of inventory shortage
4. Which action illustrates the duty of care required from a broker when arranging a client's insurance program?
A) Disclose the percentage of the premium that will be paid as commission
B) Provide insurance options for known exposures
C) Inspect all the client's premises and provide risk control recommendations
D) Await inquiries from the client before approaching the insurer on policy wording discrepancies
5. Which party is the beneficiary under a surety bond?
A) Insurer
B) Obligee
C) Principal
D) Surety
Solutions:
| Question # 1 Answer: D | Question # 2 Answer: B | Question # 3 Answer: C | Question # 4 Answer: B | Question # 5 Answer: B |
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