#1
Which of the following is a fundamental principle of insurance law?
Utmost good faith
Caveat emptor
Doctrine of frustration
Doctrine of estoppel
#2
Which of the following best defines 'insurable interest' in insurance law?
Any interest in property or life that would be affected by the loss of the insured property or the death of the insured person
Interest in purchasing insurance policies for speculative purposes
Interest in obtaining insurance regardless of any potential loss
Interest in denying insurance coverage to others
#3
What is the 'principle of indemnity' in insurance law?
Insured parties must be compensated for any losses regardless of their actual value
Insured parties must receive compensation that places them in the same financial position as before the loss
Insurers are not liable for any losses incurred by the insured
Insurers must compensate the insured parties without any limitations
#4
What does 'utmost good faith' imply in insurance law?
Insured parties must disclose all material facts to the insurer
Insurers must always act in the best interest of the insured
Insured parties can withhold information if it benefits them financially
Insurers are not required to disclose policy terms to the insured
#5
What is the main purpose of 'marine insurance'?
To provide insurance coverage for marine vessels only
To cover losses or damages related to marine risks
To offer insurance exclusively for maritime workers
To protect marine environments from pollution
#6
In the case of *Horsley v MacLaren*, what was the issue regarding insurance?
Misrepresentation of facts
Breach of warranty
Duty of disclosure
Insurable interest
#7
Which legal doctrine is often invoked when an insurer waives its right to assert a defense?
Doctrine of subrogation
Doctrine of utmost good faith
Doctrine of waiver
Doctrine of reasonable expectations
#8
What does the 'doctrine of subrogation' entail in insurance law?
Insurers must cover losses even if the policyholder is at fault
Insurers have the right to step into the shoes of the insured and recover from third parties who are legally responsible for the loss
Insurers are responsible for losses regardless of any other circumstances
Insurers have the right to cancel policies at any time
#9
Which of the following is an example of 'concealment' in insurance law?
Intentionally failing to disclose relevant information on an insurance application
Accidentally omitting personal details on an insurance application
Providing accurate information on an insurance application
Withholding information not pertinent to the insurance policy
#10
Which of the following statements best describes 'waiver' in insurance law?
Voluntary relinquishment of a known right or conduct that implies the relinquishment of a right
Forcing an insured party to give up their rights under the insurance policy
Imposing additional conditions on the insured party after the policy is signed
Refusal by an insurer to provide coverage under any circumstances
#11
In the case of *Dalby v India and London Life Assurance Co.*, what issue was addressed regarding insurance policies?
The role of insurance agents in selling policies
The interpretation of ambiguous policy terms
The determination of insurable interest
The calculation of premium amounts
#12
What is the 'parol evidence rule' in the context of insurance contracts?
Rule that oral evidence prevails over written evidence
Rule that bars the introduction of extrinsic evidence to vary the terms of a written contract
Rule that voids any contract lacking a written document
Rule that allows parties to modify a contract orally
#13
In the case of *Pan Atlantic Insurance Co. v. Pine Belt Cadillac, Inc.*, what legal principle was established?
Doctrine of reasonable expectations
Doctrine of subrogation
Doctrine of good faith and fair dealing
Doctrine of contra proferentem
#14
What is the significance of the 'doctrine of utmost good faith' in insurance contracts?
Requires both parties to act honestly and fairly in their dealings
Allows one party to deceive the other for financial gain
Does not apply once the insurance policy is signed
Requires the insured to always disclose any information
#15
In the case of *Lucena v Craufurd*, what principle was established regarding marine insurance?
Principle of indemnity
Principle of subrogation
Principle of insurable interest
Principle of utmost good faith
#16
What does 'uberrimae fidei' mean in insurance law?
Utmost good faith
Excessive premium payments
Continuous disclosure of all relevant facts
Complete disclosure of all material facts
#17
Which of the following is a key element of 'proximate cause' in insurance law?
The direct cause of the loss
Any cause that contributes to the loss
The ultimate cause of the loss
The most recent cause of the loss