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CII E05 Exam Syllabus Topics:

SectionObjectives
Insurance Contract Terms and Vitiating Factors- Policy terms and validity
  • 1. Effects of breach
  • 2. Fraud
  • 3. Conditions and warranties
  • 4. Representations and misrepresentations
Subrogation and Contribution- Recovery and sharing of losses
  • 1. Contribution between insurers
  • 2. Subrogation rights
Formation of Insurance Contracts- Insurance contract principles
  • 1. Consumer and commercial insurance law
  • 2. Disclosure and fair presentation
  • 3. Insurable interest
  • 4. Utmost good faith
Indemnity and Measurement of Loss- Application of indemnity
  • 1. Methods of indemnification
  • 2. Calculation of losses
Law of Torts- Principles of tort law
  • 1. Negligence
  • 2. Nuisance
  • 3. Defamation
  • 4. Liability and remedies
Insurance Claims- Claims process and legal principles
  • 1. Claims settlement
  • 2. Notification and handling of claims
  • 3. Rights and obligations of parties
Law of Agency and Insurance- Agency relationships
  • 1. Creation of agency
  • 2. Duties and liabilities
  • 3. Authority of agents
Law of Contract- Contract formation and operation
  • 1. Offer and acceptance
  • 2. Consideration
  • 3. Terms of contract
  • 4. Breach and remedies
Nature and Sources of English Law and Natural Legal Persons- Nature and sources of English law
  • 1. Natural and legal persons
  • 2. Legal systems and sources of law

CII Examination element of M05 Insurance law Sample Questions:

Within what time period, from the date when the damage first began, does the owner of an office block have a right to sue the builder for negligent construction work?

  • A. 6 years.
  • B. 9 years.
  • C. 3 years.
  • D. 15 years.
Answer: C

What is the intended purpose of a subrogation waiver clause in an insurance po

  • A. The insurer's subrogation rights will not be exercised against certain parties associated with the insured.
  • B. Cover is suspended whilst the insurer pursues an action for subrogation.
  • C. The insured has a duty to ensure that the insurer's subrogation rights are maintained.
  • D. The doctrine of subrogation is excluded from the policy.
Answer: A

In terms of private motor insurance, a renewal offer can be accepted

  • A. only by the proposer personally.
  • B. only by written communication.
  • C. by the proposer acting in reliance of the offer.
  • D. by any third party.
Answer: C

The principle of subrogation prevents a policyholder from profiting from

  • A. retaining salvaged property.
  • B. claiming under both his insurance policy and against any negligent third party.
  • C. assigning abandonment rights to the insurer.
  • D. submitting a full claim recovery under more than one insurance policy.
Answer: B

Ambiguous terms in a household insurance contract are generally construed against the

  • A. insurer due to the contra proferentem rule.
  • B. insurer due to the ejusdem generis rule.
  • C. policyholder due to the literal rule.
  • D. policyholder due to the noscitur a sociis rule.
Answer: A

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