Registered Insurance Brokers of Ontario (RIBO) Practice Exam

Question: 1 / 50

Under the requirements where loss or damage to the automobile occurs, the insurer:

Is required to make payment to the insured for actual cash value.

Can repair or replace the damaged property with the like kind and quality.

The other options are incorrect because A: Only covers the actual cash value and may not cover the full cost of repair or replacement. C: Imposes a specific time frame rather than giving the insurer flexibility. D: Puts the financial burden on the insured to protect the vehicle, while B allows the insurer to handle the repairs or replacement.

Must pay within 90 days of receipt of proof of loss.

The insured must protect the vehicle from further damage at his/her own expense.