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IIC C130

C130

Exam Code: C130

Exam Name: Essential Skills for the Insurance Broker and Agent

Updated: Jul 04, 2026

Q & A: 79 Questions and Answers

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IIC Essential Skills for the Insurance Broker and Agent Sample Questions:

1. Miro's vehicle and Stephanie's vehicle collide with each other in New Brunswick. Neither of them has loss or damage coverage, also known as collision coverage. The chart shows the physical damage and assigned fault.
How would the payment be apportioned?
Driver | Physical Damage | Fault Percent
Miro | $4,000 | 50%
Stephanie | $2,000 | 50%

A) Miro can collect $2,000 from his insurer and $2,000 from Stephanie's insurer; Stephanie can collect
$1,000 from her insurer and $1,000 from Miro's insurer.
B) Miro can collect $2,000 from his insurer; Stephanie can collect $1,000 from her insurer.
C) Miro can collect $2,000 from his insurer and $1,000 from Stephanie's insurer; Stephanie can collect
$1,000 from her insurer and $500 from Miro's insurer.
D) Miro can collect $4,000 from his insurer; Stephanie can collect $2,000 from her insurer. Miro's insurer will subrogate against Stephanie's insurer for $2,000 and Stephanie's insurer will subrogate against Miro's insurer for $1,000.


2. Which homeowners package policy provides all-perils coverage on the building and named-perils coverage on the contents?

A) Basic
B) Standard
C) Comprehensive
D) Broad


3. In law, what does the term prescription mean?

A) Limited time after which a cause of action ceases
B) Transferring of the rights for action against the responsible party to the insurer
C) Committing to an automatic renewal process
D) Guidelines relating to the acceptability of a class of risk


4. A tenant's negligence causes a fire in the dwelling they rent. Typically, who is initially responsible for paying the damage?

A) The insurer that issued the tenant's legal liability policy
B) The dwelling's owner who is responsible for the tenant's actions
C) The insurer that issued the homeowners policy
D) The tenant who negligently caused the fire


5. Which document releases the insurer from further obligations for a loss after payment is made?

A) Proof of loss
B) Non-waiver agreement
C) Reservation of rights letter
D) Sworn statement


Solutions:

Question # 1
Answer: B
Question # 2
Answer: D
Question # 3
Answer: A
Question # 4
Answer: C
Question # 5
Answer: A

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