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Download Examination element of M05 Insurance law Exam Dumps
NEW QUESTION 53
The proximate cause of a loss is best described as the
- A. final peril to cause the loss.
- B. first peril to cause the loss.
- C. most remote cause of the loss.
- D. most dominant cause of the loss.
Answer: D
NEW QUESTION 54
What are the main objectives of the principle of insurable interest?
- A. To reduce moral hazard and to discourage profiteering.
- B. To reduce moral hazard and to discourage wagering.
- C. To reduce physical hazard and to discourage profiteering.
- D. To reduce physical hazard and to discourage wagering.
Answer: B
NEW QUESTION 55
How can an agency relationship be best described?
- A. A person has transferred his obligations under a contract to another party.
- B. A person, who has paid another party under a contract, has the right to stand in the place of that other party and avail himself of the rights and remedies of that party.
- C. A person has the authority to act on behalf of another party.
- D. A person has ratified another party's action.
Answer: C
NEW QUESTION 56
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