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Question 20 of 25 The most correct purpose of the proposal form is to... A. elicit...

Question 20 of 25

The most correct purpose of the proposal form is to...

A. elicit information, elicit a quotation and establish a warranty.

B. elicit information, describe the cover available.

Question 21 of 25

The most correct interpretation of the operative or insuring clause of an insurance policy is that it refers to...

A. payment of premium, indemnify/compensate, payment/replacement/reinstatement, defined events, period of insurance, exclusions, conditions, limits per schedule

B. payment of premium, indemnify/compensate, payment/replacement/reinstatement

C. payment/replacement/reinstatement, defined events, period of insurance, exclusions

Question 22 of 25

A company has a building valued at R15 000 000. The building is insured for R10 000 000 by ACME Insurers and R5 000 000 by BCME Insurers. There was a fire incident at the building with total damage of R6 000 000.

How much will BCME pay of the damage?

A. R2 000 000

B. R5 000 000

C. R4 000 000

Solutions

Expert Solution

jeff jeffy answered 5 months ago
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