CH 7 RELATED SERVICES

Question 1

In insurance what are helplines

Answer 1

Also known as advice lines these are mainly freephone numbers often operated 24 hrs a day providing emergency assistance and expert advice to insurance policyholders

Question 2

In relations to helplines what did the implementation of the consumers rights act 2015 restrict

Answer 2

It restricted the use of premium rate phone numbers

Question 3

What rule has the FCA also implemented in accordance to helpline telephone calls

Answer 3

In its Handbook it has stated that customers shouldn’t pay no more than a basic rate for telephone calls

Question 4

Household insurers usually offer what type of helpline assistance

Answer 4

provide legal advice,legal cost services, emergency services(provide immediate assistance in emergencies whether or not relate to claims)

Question 5

What class of insurance are approved repairers found

Answer 5

Motor Insurance

Question 6

What is Risk Management

Answer 6

This is the identification,analysis and economic control of those risks which can threaten the assets/earning capacity of an enterprise

Question 7

What are the three steps to managing risks

Answer 7

• Risk identification
• Risk Analysis
• Risk Control

Question 8

Risk identification involves two types of analysis which are

Answer 8

It involves the analysis of both upside and downside of risks

Question 9

Risk identification of the upside of the risk relates to

Answer 9

The failure to maximize opportunity

Question 10

The Risk identification of the downside of the risk involves

Answer 10

Discovering what threats already exist and what potential threat exist in the future

Question 11

The initial assessment of risk by underwriters is carried out through

Answer 11

-Examine the proposal form and physical examination or survey to assist in identifying existing and potential risks

Question 12

Risk analysis deals with

Answer 12

Examining past data to evaluate the risk

Question 13

What does risk analysis help in

Answer 13

It will help identify measures that could be taken to control the risk

Question 14

Risk Control deals with

Answer 14

This deals with putting together action to reduce and even eliminate risk

Question 15

What are the two risk control ways an insurer uses

Answer 15

• Physical Control measures of the risk

- Financial Control Measures of potential risks

Question 16

Who is a risk surveyor

Answer 16

This is the eyes and ears of an insurer identifying the risks which the insured can control or eliminate

Question 17

Risk Surveyor is also known as

Answer 17

Loss Control Engineer

Question 18

Who is the risk surveyor advised to work closely with

Answer 18

The underwriter in identifying the ,measures of risk control and ensuring policy term reflect these

Question 19

Helplines services provided under private motor insurance may be used for

Answer 19

• They provide 24 hours access to call center for assistance in the event of vehicle breakdown
• Insured only pays labor and parts for assistance provided, depends on the policy

Question 20

Helplines services provided under travel insurance may be used for

Answer 20

They provide medical emergency service

Question 21

Under travel insurance who is appointed to provide helpline advice

Answer 21

A specialist company providing 24- hour multi lingual helpline facility. In an emergency the company will advise/organise the necessary treatment /repatriation

Question 22

To whom does a contractor e.g. a glaizer submit their repair invoice

Answer 22

The contractor will attend a call out and if claim is valid will submit an invoice directly to the insurer

Question 23

Recommended/preferred contractors of the insurers are known as

Answer 23

Authorized repairers

Question 24

What are insurance engineers able to do with the introduction of high tech equipment

Answer 24

With digital video cameras They are able to inspect the vehicle without actually visiting the garage carrying out the repairs

Question 25

Increased insurance premium due to loss of No claim Discount is not recovered in

Answer 25

It is not recoverable as uninsured loss

Question 26

Why is NCD not recoverable as

uninsured loss

Answer 26

This is because the insurer has met their own damage claim, thus reduces the insured’s NCD but makes a subsequent full recovery of its outlay, the insured will be reimbursed the increased premium due to the initial loss of NCD

Question 27

What do accident management companies and solicitor offer interms of uninsured loss recovery

Answer 27

They offer additional similar services like replacement vehicle services and pursuing personal injury claims

Question 28

On what basis are accident management and solicitor based on

Answer 28

No Win No fee basis

Question 29

Under uninsured loss recovery what is the most common instruction of solicitors

Answer 29

Through Legal expense policy They will provide an indemnity for legal expenses in pursuing an uninsured loss claim, where reasonable prospects of success exists

Question 30

How does the insured obtain legal expense policy

Answer 30

They obtain this policy through conjunction in the purchase motor policy a to provide cover exactly for his contingency

Question 31

What is the limit for legal expense policy

Answer 31

50k-100k pounds