RIBO-Level-1 Practice Questions

A.  

Receiving updated banking information from a client through email.

B.  

Making a credit card payment through an insurer’s website.

C.  

Receiving credit card details from a client through email.

D.  

Scanning a clients banking information to the Broker Management System to a clients file.

A.  

$600.

B.  

$480.

C.  

$720.

D.  

$500.

A.  

for their full actual cash value.

B.  

for their full actual cash value if factory installed.

C.  

for their full replacement cost.

D.  

up to $5,000.

A.  

Commercial General Liability.

B.  

Cyber Liability Coverage.

C.  

Business Interruption Coverage.

D.  

Professional Liability.

A.  

The policy will remain unchanged, as short-term rentals are automatically covered.

B.  

The insurer may deny claims related to rental activities due to undisclosed risk.

C.  

The insurer will provide coverage but with a higher deductible for rental-related claims.

D.  

The premium will automatically increase to reflect the new use.

A.  

Contact the office’s designated privacy officer to report the suspected breach.

B.  

Update the client’s file with a note about the potential breach for future reference.

C.  

Develop a new data storage protocol to prevent such breaches from occurring again.

D.  

Delete all potentially impacted files to eliminate further risks.

A.  

Yes, but document where you have informed the client of the risks of potentially being underinsured.

B.  

Yes, the client has the right to choose their policy as long as it meets the statutory requirements.

C.  

No, the Broker has a moral duty not to allow a client to be exposed to such liability.

D.  

No, as it will expose the broker to vicarious liability of an under-insured client.

A.  

A monitored security system.

B.  

Self-insurance.

C.  

An agreement of purchase and sale.

D.  

Purchase of insurance.

A.  

Imposing a fine that the committee deems appropriate to a maximum amount prescribed in the regulations.

B.  

Revoking the certificate of the member.

C.  

Receiving a jail sentence based on the severity of the misconduct.

D.  

Reprimanding the member and, if deemed warranted, directing that the reprimand be recorded.

A.  

On a short-rate basis, allowing the insurer to keep an administrative fee.

B.  

On a pro-rata basis, representing the exact proportion of the unused premium.

C.  

On a flat-rate basis, regardless of the time remaining in the policy term.

D.  

The insurer is not required to provide a refund if the termination is due to a claim.