Updated: May 29, 2026
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1. An insurance company has employed an individual from a rival firm to carry out a similar job. At which stage would the regulatory requirements for retaining training and competence records first apply to the new employee, if at all?
A) From the initial interview.
B) It would not apply, as the employee is already fully competent.
C) Within 18 months of employment.
D) When the employee first has contact with members of the public.
2. Reinsurance is usually purchased by the
A) insurer.
B) intermediary.
C) regulator.
D) insured.
3. Joe is a broker who has become a Fellow of the Chattered Insurance Institute. If he would like to use the title Chartered Insurance Broker, what must he do. if anything?
A) He must apply to the British Insurance Brokers' Association.
B) He must apply to the Chartered Insurance Institute.
C) He must apply to the Prudential Regulation Authority.
D) He cannot use the name as he would be in breach of the Insurance: Conduct of Business sourcebook (ICOBS).
4. A firm of insurance brokers holds client records on an index card system and does NOT intend to computerise this information. In what circumstances, if any, will these records be covered by the Data Protection Act 2018?
A) In no circumstances.
B) Only if the records include details of race.
C) In all circumstances.
D) Only if the records include dates of birth.
5. If an insured signs an agreement with a hold harmless clause, this may prevent the insurer from
A) disclosing details to a third party.
B) increasing the premium.
C) reinsuring the risk.
D) pursuing subrogation rights.
Solutions:
| Question # 1 Answer: D | Question # 2 Answer: A | Question # 3 Answer: B | Question # 4 Answer: C | Question # 5 Answer: D |
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