III IC-01 case studies
III IC-01 · Put your knowledge to work in context.
IC 01 Principles of Insurance is one of the professional examinations listed by the Insurance Institute of India (III) on its official site, appearing in the institute's catalogue of study material under the professional examination subjects. It is a foundational paper: it introduces the ideas that underpin every later insurance subject - risk and how it is transferred, the pooling of losses, insurable interest, utmost good faith, indemnity, subrogation and contribution - and it supports the more specialised papers in the same catalogue, such as IC 02 (Practice of Life Insurance), IC 14 (Regulations of Insurance Business) and the general insurance underwriting and claims papers. The III IC-01 case studies are 5 cases and about 3,495 words.
1Restaurant Fire: Average Clause and Two Undisclosed Facts
A restaurant owner insures stock, fittings and kitchen equipment under a commercial property policy with a single sum insured of 400,000. The policy includes an 80% average (coinsurance) condition, a 250,000 contents limit and a 5,000 deductible.
753 words, about 4 min2Key-Person Life Policy: Insurable Interest and Medical Non-Disclosure
A 12-person software company takes a GBP 1,000,000 key-person life policy on its 58-year-old founder and majority shareholder. The application, signed by the finance director, answers 'no' to a question asking whether the founder had consulted a cardiologist or been prescribed medication for heart disease in the last five years.
643 words, about 3 min3Factory Fire and Sprinkler Water: Proximate Cause Versus Faulty Workmanship
A food-processing company insures its plant and stock for 2,000,000 under a property policy. The policy covers fire and water damage, but excludes 'the cost of repairing, replacing or rectifying defective workmanship'.
714 words, about 4 min4Cargo Double Insurance, Subrogation and a Carrier Release
A UK exporter ships machine parts worth 500,000 to a buyer in Singapore. The exporter insures the cargo with Insurer A for 500,000.
691 words, about 3 min5Homeowners Claim: Pair-or-Set Cabinets and Undisclosed Cake Business
A homeowner insures a detached house under a standard homeowners policy with a 300,000 dwelling limit and a 2,000 deductible. The policy is rated as a private residence and states that the premises are 'not used for business purposes'.
694 words, about 3 min