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Flashcards in CH. 9 Deck (276)
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1

In the UK, the government acts as an insurer, by providing certain benefits for individuals, what benefits are these

The benefits include, welfare benefits, unemployment benefits and retirement benefts

2

What are the compulsory insurance for Private Individuals in the UK

1. Motor Insurance
2.Public Liability in respect of ownership of dangerous animal or dangerous dogs

3

What are the compulsory insurance for Professions and businesses in the UK

1.Motor Insurance
2. Employer Liability if company has employees
3.Public Liability for specific trades and professions
4.Professional Indemnity for solicitors and other professionals including insurance intermediaries
5.Marine Pollution Liability is compulsory for operators of nuclear reactors

4

What are the main reasons why certain forms of insurance are compulsory in particular cases

1. To provide funds for compensation- main objective is to provide means by which an injured or suffering loss, through someone else's fault may receive compensation
2.In response to national concern

5

What did the Employers Liability Act of 1969 comprise of

It made is compulsory for employers in the Great Britain to effect Employer's Liability Insurance. This insures them against their liability to pay compensation to employees who sustain bodily injury or disease arising out of and in the course of their employment.
Their some exceptions including family members and gov't agencies. Minimum required limit of 5Million Pounds, Insurance market provides 10 million as standard

6

What did the EMployer's Liability Regulation 2008 change

It changed and removed the requirement for employers to retain and display certificates for a specified period at each place of work

7

What does the road traffic act 1988 state

It stipulates that it is illegal to cause or permit the use of vehicle on any other public place unless an insurance policy is in force, covering third party damage and third party bodily injury or death

8

Who has an influence in the area of compulsory motor insurance in the U.K

The European Union

9

Give an example of an subsequent changes to the UK Law that have been prompted by the EU directives

Compulsory third party property damage cover and requirement to be able to trace the insurer of a vehicle from its registration plate

10

How many EU motor insurance derivatives were brought into the UK law between 1973 and 2007

Five EU motor insurance derivatives consolidated by the Codified Motor derivatives introduced in 2009

11

what amendment did the deregulation act 2015 make for the Road Traffic Act

The following are the amendments;
1.insurance certificate must be delivered to the policy holders , but delivery will no longer require for the policy to be effective
2.Where policy is cancelled mid-term, the policyholder is no longer required to return the certificate or make a statuary declaration or any statement acknowledging policy has ceased to have effect( not doing so is not an offense)
3.Insurers are relived of the burden of requesting policyholders to surrender certificates for the cancelled policies as a prerequisite of avoiding contractual liability

12

What is a valid evidence of Road Traffic Act of 1988 for motor insurance

The certificate of motor insurance

13

When did the Deregulation Act 2015, come into effect

It came into effect on the 30th June 2015

14

what is the key role of the Motor Insurer's Role

There key role is handling motor insurance claims for compulsory motor insurance

15

which is one of the provision of the Riding Establishment Act 1970

It stated that all proprietors of riding establishment must have public liability Insurance

16

For Liability insurance against wild animals and dangerous dogs, which act don't include the nature and scope of this insurance

1.The Dangerous Wild Animal Act 1976
2.The Dangerous Dogs act of 1991

17

Generally why are insurers not willing to issue policy that would cover liability arising out of ownership of a wild animal or dangerous dogs

This is because if they did so then it would amount to selection among insurers. Instead the insurer would probably be prepared to insure the risk as an extension to another insurance policy held by the insured. such policies include household policy where it would be covered in the public liability section/policy.

18

Professional Indemnity Insurance

This insurance is compulsory for solicitors/accountants, insurance intermediaries who are authorized by the FCA

19

Solicitors (Amendment) Act of 1974

This states that Professional Indemnity Insurance is compulsory for solicitors. This insurance indemnifies solicitors against claims of financial loss suffered by client as a result of professional negligence from the solicitor

20

Are Appointed Representatives and Introducer appointed representatives required to have Professional Indemnity Insurance

no, they are not required, since everything they do is undertaken for an insurer or an intermediary that is responsible for their action. However Insurance intermediaries authorized by the FCA must have PI insurance

21

What is the current minimum limit for PI insurance for insurance intermediaries

The current limit is 1 million pound to 1.5 million pound, although all firms should consider their potential liability and purchase sufficient insurance cover

22

What are the reasons PI insurance has grown over the years in London

1.the rising cost of legal services
2.adverse judicial decisions
3.retrospective legislation which may move the goalposts ti the determinant of insurers

23

The Unfair Term in Consumer Contracts Regulations 1999(UTCCRS) consisted of

These regulations applied, with certain exception, to contracts between a consumer and supplier

24

The Consumer Right Act 2015

Consolidates and clarifies existing consumer legislation on unfair contract terms, remove conflicts overlaps between UTCCRs and unfair contract terms act 1997.
This provision covers both Consumer contract and consumer notices

25

What does the Consumer Right Act 2015 ensure

This Act ensures that terms used in contracts and notices will only be binding upon the consumer if they are fair.

26

How does the Consumer Right Act 2015 define Unfair terms

They define them as those that put the consumer at a disadvantage, by limiting the consumers right or disproportionately increasing their obligation as compared with traders rights and obligation

27

How does Consumer Right Act 2015 assist with court cases

It sets out factors a court should take into account when determining whether a term is fair

28

What does the assessment fairness test take into account

It takes into account nature of the subject matter, specific circumstances existing when the terms were agreed, and other terms in the contract

29

When developing the
Consumer Right Act, what did the gov't take into account

The Gov't took into account the definitions and measures contained within the EU directives on Consumer Right

30

When is a term considered transparent

If it is expressed in a plain and intelligible language and in the case of written term is legible