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ONTARIO AUTO EXAM (RIBO)
QUESTIONS AND ANSWERS RATED A+
Your client calls to advise he/she needs insurance on a car leased from an automobile dealer. Which one (1) of the following policies is required?
A. O.A.P. 1 Owner Form, suitably endorsed.
B. O.P.F. #2 Driver's Form.
C. O.P.F. #6 Non-owned Automobile Form, suitable endorsed.
D. Garage Auto Form, suitably endorsed. ✔✔A. O.A.P. 1 Owner Form, suitably endorsed.
Insurance under O.A.P. 1 Owner's Form, Section 7, Loss or Damage Coverages, is usually subject to a deductible. It does not apply to damage caused by:
A. Windstorm
B. Explosion
C. Vandalism
D. Fire
(P48. only fire + lightening /no deductible for fire + lightening) ✔✔D. Fire
Uninsured Automobile coverage:
A. Must be added by endorsement to O.A.P. Owner's Form
B. Only cover's bodily injury, but never property damage.
C. Can cover accidental damage to the insured's automobile, provided the uninsured owner or the driver of the actual automobile is identified.
D. Provides coverage for third parties if the insured causes bodily injury and has breached a statutory condition.
P.30 52.3 (Uninsured needs to be identified in order to be categorized under uninsured insurance hence needs to be identified first, to make sure he did not have coverage/insurance in reality)
✔✔C. Can cover accidental damage to the insured's automobile, provided the uninsured owner
or the driver of the actual automobile is identified.
A client phones to tell you he has brought a high-end stereo system costing $5,000, which has been installed in his car. What should you tell him?
Your insured parks his/her automobile at a shopping mall and on his/her return it has been damaged by another vehicle. Your insured has O.A.P. 1 Owner's Form with Liability, Accident Benefits, Comprehensive and OPCF44, Family Protection Endorsement coverages. What section would cover the damage?
A. Comprehensive
B. OPCF 44, Family Protection Endorsement
C. Liability
D. There would be no coverage
This type of loss would be covered under Collision or All perils, and the insured does not have
either of those coverages. ✔✔D. There would be no coverage.
Insured under Section 7 of O.A.P. 1 Owner's Form, Loss or Damage Coverages, is usually subject to a deductible. It does not apply to loss or damage caused by:
A. Water
B. Lightening
C. Vandalism
D. Windstorm
Page 48.: If you are insured for loss or damage caused by fire or lightening, there is no
deductible for these losses. ✔✔B. Lightening
Your insured calls to report while ice fishing on Lake Simcoe his/her automobile went through ice. He/she has O.A.P. 1 Owner's Form with Liability, Accident Benifits and Comprehensive Coverages. The insurer:
A. Would pay the claim in full
B. Would not pay the claim, as there is no coverage.
C. Would pay the claim, less deductible
D. Would not pay the claim, as the automobile was not being operated on a public highway.
P44. Loss would be covered under Comprehensive Coverage. ✔✔C. Would pay the claim, less
deductible
The Facility Association is :
If the insured drove his automobile in to his garage door, what would be included under the Own Damage coverage on his automobile policy?
A. Both the auto and the door.
B. Neither the auto nor the door.
C. The auto.
D. The door. ✔✔C. The auto.
The insured leaves a tavern, gets in his auto in an intoxicated state, and causes and accident on the way home. Which of the following would be not covered?
A. Collision damage to his automobile.
B. Damage to a telephone pole.
C. Damage to another automobile.
D. Medical and surgical expenses required as a result of the injuries he sustains.
Own damage is not covered when DUI. Only 3P Lia/Accident Benefits are covered. ✔✔A.
Collision damage to his automobile.
Under Loss of Use (subsequent to a theft of an automobile), reimbursement begins:
A. 24 hours after the theft has been reported to the insurer.
B. 24 hours after the theft has been reported to the police.
C. 48 hours after the theft has been reported to the insurer or to the police.
D. 72 hours after the theft has been reported to the insurer or to the police. ✔✔D. 72 hours after
the theft has been reported to the insurer or to the police.
A cigarette sets the automobile seat on fire and causes $450 damage. The policy shows a $ deductible under Specified Perils. The insurer would pay:
A. $
B. $
C. $
D. $
Deductible does not apply or is $0 in case of fire or lightening. ✔✔D. $
A horse and buggy are hit by an automobile. The horse is killed. The automobile has been damaged but not the buggy. Which of the following coverages apply:
A. Own Damage
B. Third Party Liability (Property Damage)
C. Neither of the above.
D. Both of the above. ✔✔D. Both of the above.
Rising water is covered under:
A. All perils only,
B. Comprehensive only.
C. Comprehensive but not Specified Perils.
D. All perils, Comprehensive and Specified Perils.
P43- Specified Perils ✔✔D. All perils, Comprehensive and Specified Perils.
The insurer is required to pay the money for which it is liable under the automobile insurance contract within 60 days after the:
A. Date of the accident.
B. Proof of loss has been received by the insurer.
C. Date that the insured has files a report with the police.
D. Insurer has chosen to repair the damaged automobile. ✔✔B. Proof of loss has been received
by the insurer.
Your insured has bought a snowmobile and advises you a fourteen year old son will also be operating it. You have provided your insured with an O.A.P. 1, Owner's Form and advise that:
A. Damage to the exterior of the building directly caused by Vandalism or Malicious Acts.
B. You will add OPCF 32, Recreational Vehicle Endorsement to provide coverage for underage operator.
C. There is no coverage while the son is driving as he is under sixteen years of age and the coverage cannot be obtained.
D. You will add the OPCF 44 Family Protection Endorsement, to cover any accident the son may
have. ✔✔B. You will add OPCF 32, Recreational Vehicle Endorsement to provide coverage for
underage operator.
B. The insured collects from his/her insurer even though the operator of the vehicle, with the insured's consent, was not entirely at fault for the accident.
C. The accident may occur anywhere in Canada and at least one of the other automobiles involved is insured under a motor vehicle liability policy.
D. It covers damage to the automobile, certain unscheduled trailers, their equipment and contents caused by another automobile in Ontario, including their loss of use.
P37 - Accident must happen in ONTARIO, hence C is correct answer. ✔✔C. The accident may
occur anywhere in Canada and at least one of the other automobiles involved is insured under a motor vehicle liability policy.
The insured (who has automobile insurance) is struck by an automobile while riding her bicycle and received minor injuries. Medical payments for the insured will:
A. Be paid by the insured's automobile policy under Accident Benefits.
B. Be paid by the provincial medical plan.
C. Be paid by the motorist's automobile policy under Third Party Liability.
D. Not be paid if the insured was at fault to any extent. ✔✔A. Be paid by the insured's
automobile policy under Accident Benefits.
Which of the following is NOT true of recreational vehicles:
A. Coverage under an Automobile Insurance Policy should be excluded by endorsement if an all- terrain vehicle is used in the water.
B. Not all drivers of the recreational vehicles must be licensed.
C. Recreational Vehicles are permitted to cross highways.
D. Motorized snow vehicles are automatically covered under an automobile insurance policy - no endorsements needed at any time.
Because you always put OPCF 32 with O.A.P. 1 ✔✔D. Motorized snow vehicles are
automatically covered under an automobile insurance policy - no endorsements needed at any time.
Under Section 7, Physical Damage to Own Automobile Coverage, the insurer agrees to indemnify:
A. Any occupant of the vehicle.
C. Standard Non-Owned Policy
D. Driver's Policy.
HINT - OAP 2 - Driver's Policy ✔✔D. Driver's Policy.
Which of the following is covered under the All Perils coverage (own damage) of an automobile policy?
A. Damage caused to the automobile while the driver was under the influence of drugs.
B. Radioactive Contamination.
C. Rusting of the automobile body.
D. Vandalism damage to the automobile.
HINT - P44 (Exclusions) ✔✔D. Vandalism damage to the automobile.
In which of the following situations is coverage available for a temporary substitute automobile?
A. A friend lends his automobile to the insured.
B. The insured rents an automobile while his vehicle is being repaired.
C. The insured rents an automobile while on vacation in Florida.
D.The insured borrows the company van to move a few pieces of furniture.
Notes- Ref 2.2.2 (because the vehicle is being repair and hence insured is renting one, so the
rented auto becomes temporary substitute automobile. ✔✔B. The insured rents an automobile
while his vehicle is being repaired.
Is a snowmobile considered to be an automobile for insurance purposes in Ontario?
A. No.
B. Only when operated on a public highway.
C. Yes
D. Not when being operated by an underage driver. ✔✔C. Yes
An eighteen year old youth enters your office and requests insurance on his new automobile - a Chevrolet Corvette. You know that most insurers are not keen on insuring young drivers with
Your insured belongs to a car pool and uses his/her automobile to transport the other three members to work every fourth week. One of the other members drives each of the other three weeks. As her/his insurance broker, what would you recommend to make sure your client is covered against claims from passengers for injuries?
A. Add "passenger hazard endorsement"
B. The standard policy automatically covers the situation. No change is necessary.
C. Advise the insurer to reclassify the vehicle to business use.
D. Add endorsement "carrying passengers for compensation or hire". ✔✔B. The standard policy
automatically covers the situation. No change is necessary.
Under the "What Automobiles Are Covered" section of O.A.P. 1 Owner's Form, a newly acquired automobile is automatically covered for a period of 14 days. This automatic coverage is limited to:
A. Those coverages, which applied to the vehicle replaced or which, apply to all the insured's vehicles if it is an additional automobile.
B. Private Passenger Vehicles Only.
C. A vehicle which replaces one already insured under this policy.
D. Vehicles, which are chiefly used for, pleasure purposes.
Refer - P12 2.21 ✔✔A. Those coverages, which applied to the vehicle replaced or which, apply
to all the insured's vehicles if it is an additional automobile.
All clients should be counselled regarding the availability of optional BENEFITS available under O.A.P.1 Owner's Form. Which one (1) of the following is NOT available?
A. Increased Income Replacement Benefit
B. Excess Economic Loss Endorsement
C. Indexation Benefit
D. Increased Caregiver Benefit.
HINT - Only B is and endorsement NOT benefit, hence the correct answer.
Refer - P28 4.4 ✔✔B. Excess Economic Loss Endorsement
As the result of an automobile accident involving two automobiles both registered and insured in Ontario, both cars are damaged. One driver, John Smith, is killed and the other driver, Mary
