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IIC C11 Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Insurance Industry Structure and Stakeholders | 15–20% | - Legislation and regulation in Canada - Insurers, intermediaries, regulators - Roles: underwriting, claims, reinsurance |
| Topic 2: Legal Principles of Insurance | 20–25% | - Principle of indemnity - Subrogation and contribution - Contract law fundamentals - Insurable interest, utmost good faith |
| Topic 3: Insurance Policy Structure and Provisions | 20–25% | - Policy components: declarations, insuring agreement, exclusions, conditions - Endorsements and modifications - Interpretation of policy wording |
| Topic 4: Introduction to Insurance | 10–15% | - Basic concepts: risk, peril, hazard - Purpose and function of insurance - Role of insurance in economy and society |
| Topic 5: Risk Management and Application | 15–20% | - Application of principles to personal and commercial contexts - Risk identification, assessment, treatment - Ethics and professional conduct |
IIC Principles and Practice of Insurance Sample Questions:
1. What are the four requirements of a binding contract under the Civil Code of Quebec?
A) Capacity, intention, co-operation, and lesion
B) Acceptance, cause, consent, and subject of contract
C) Capacity, cause, consent, and object of contract
D) Acceptance, agreement, capacity, and offer
2. Why would a policyholder use an intermediary?
A) They represent all insurers
B) They make reinsurance arrangements for clients
C) They help to identify clients' insurance needs
D) They have unlimited liability
3. If thenet premiumis $4,000 and thebroker's commissionis 20%, what is thepolicy premium?
A) $5,000
B) $4,500
C) $6,500
D) $3,200
4. Dominika's house sustains a fire resulting in a $500,000 total loss to the house and contents. Some pieces of furniture are salvageable and valued at $4,000 by the insurer. Dominika chooses to keep these items for her next home. Dominika's policy has a guaranteed replacement cost clause with a limit of $500,000 and a deductible of $1,000. What settlement amount will Dominika recover from the loss?
A) $495,000
B) $496,000
C) $499,000
D) $500,000
5. [Insurance Companies - Reinsurance (Non-Proportional / Excess of Loss)] Cover It Insurance has a non-proportional reinsurance agreement with ZYX-Reinsurance:
$600,000 excess of $300,000.
Which payout is accurate?
A) On a $200,000 loss, Cover It pays $100,000 and ZYX pays $100,000
B) On a $100,000 loss, Cover It pays $33,333 and ZYX pays $66,667
C) On a $600,000 loss, Cover It pays $300,000 and ZYX pays $300,000
D) On a $900,000 loss, Cover It pays $200,000 and ZYX pays $600,000
Solutions:
| Question # 1 Answer: C | Question # 2 Answer: C | Question # 3 Answer: A | Question # 4 Answer: A | Question # 5 Answer: C |






