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CII IF1 Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Consumer Protection and Dispute Resolution | 8% | - Financial Services Compensation Scheme (FSCS) - Complaints handling procedures - Consumer Insurance (Disclosure and Representations) Act 2012 - Financial Ombudsman Service (FOS) |
| Principle of Indemnity | 7% | - Methods of providing indemnity - Meaning and purpose of indemnity - Exceptions to indemnity - Average clause application |
| Contribution and Subrogation | 6% | - Right of contribution between insurers - Right of subrogation and its limits |
| Principle of Utmost Good Faith | 11% | - Insurance Act 2015 provisions - Duty of disclosure and representation - Remedies for breach of duty |
| Contract and Agency Law | 9% | - Law of agency and authority - Application to insurance contracts - Essentials of a valid contract |
| Proximate Cause | 2% | - Definition and identification - Application to claims settlement |
| Nature and Structure of Insurance | 14% | - Market structures and distribution channels - Purpose and benefits of insurance - Classification of insurance business - Participants in the insurance market |
| Risk and Insurance | 10% | - Risk management and control methods - Concepts of risk and types of risk - Features of insurable risk |
| Ethics and Professional Standards | 3% | - Application to insurance scenarios - CII Code of Ethics |
| UK Regulatory Framework | 12% | - Insurance Distribution Directive (IDD) - Role of PRA and FCA - Authorisation and supervision - ICOBS rules and conduct standards |
| Compulsory Insurance and Legislation | 3% | - Key relevant statutes - Statutory requirements for compulsory insurance |
| Principle of Insurable Interest | 5% | - Application in different insurance types - Definition and legal basis - When insurable interest must exist |
CII Insurance Legal and Regulatory (IF1) Sample Questions:
1. The principle of indemnity is the
A) placing of the insured, after a loss, in the same financial position as enjoyed immediately before the loss.
B) placing of the insured, at expiry of a policy, in the same financial position as enjoyed at inception.
C) obligation of the insurer to provide a maximum sum insured or limit of liability.
D) obligation of the insurer to pay all valid claims according to the terms and conditions of the policy.
2. Under common law. when does the insured's duly of fair presentation cease with regard to declarations that do NOT affect policy cover?
A) At renewal.
B) When a claim is submitted.
C) When a claim is paid.
D) When the policy contract lakes effect.
3. 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) When the employee first has contact with members of the public.
B) It would not apply, as the employee is already fully competent.
C) From the initial interview.
D) Within 18 months of employment.
4. Sunita suffers a loss and makes a claim under her household contents insurance policy. When must insurable interest exist for her claim to be valid?
A) At the time of the loss only.
B) At the time of the proposal.
C) At policy inception only.
D) At policy inception and at the time of the loss.
5. Barbara owns a factory employing 20 people. What insurance is she required to hold by law?
A) Products liability insurance.
B) Public liability insurance.
C) Professional indemnity insurance.
D) Employers' liability insurance.
Solutions:
| Question # 1 Answer: A | Question # 2 Answer: A | Question # 3 Answer: A | Question # 4 Answer: D | Question # 5 Answer: D |







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