IIC C130 : Essential Skills for the Insurance Broker and Agent

C130 pass collection

Exam Code: C130

Exam Name: Essential Skills for the Insurance Broker and Agent

Updated: Oct 04, 2026

Q & A: 79 Questions and Answers

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IIC C130 Exam Syllabus Topics:

SectionObjectives
Topic 1: Legal and Regulatory Framework- Law of agency and fiduciary duty
- Ethical standards and professional conduct
Topic 2: Insurance Distribution Systems- Distribution models (independent agency, brokerage, direct writers)
- Agent vs broker roles and responsibilities
Topic 3: Insurance Products and Markets- Property and casualty insurance basics
- Commercial and personal lines overview
Topic 4: Broker and Agent Practice Skills- Client communication and advisory skills
- Policy placement and insurer interaction
Topic 5: Insurance Fundamentals and Risk Concepts- Nature of risk (pure vs speculative risk)
- Insurance principles and contract basics

IIC Essential Skills for the Insurance Broker and Agent Sample Questions:

Question #1

Brenda's house is valued at $250,000. She has a policy coverage limit of $220,000 and an 80 percent coinsurance clause. What would be the payout if the insured suffers a loss of $150,000?

  • A. $220,000
  • B. $150,000
  • C. $176,000
  • D. $120,000
Reveal Solution  Discussion  0

Correct Answer: B  🗳️

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Question #2

What should a broker do when selecting coverage for a client?

  • A. Overinsure the client to protect the broker from an errors and omissions claim
  • B. Compare wordings based on an analysis of the client's needs
  • C. Place the policy with the insurer that has the most legally-worded policies
  • D. Ensure that only standard policy wordings are used
Reveal Solution  Discussion  0

Correct Answer: B  🗳️

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Question #3

It is critical that an intermediary is always mindful of privacy legislation during which method of sourcing clients?

  • A. Tracking of expiry dates
  • B. Online marketing
  • C. Upselling
  • D. Walk-ins
Reveal Solution  Discussion  0

Correct Answer: B  🗳️

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Question #4

When qualifying a new client, how might an intermediary best differentiate their services from those of the current broker or agent?

  • A. Counter the incumbent's marketing and advertising strategies
  • B. Compete based on premium cost and commissions
  • C. Understand the financial motives of the client
  • D. Know the products the incumbent intermediary offers
Reveal Solution  Discussion  0

Correct Answer: D  🗳️

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Question #5

What type of insurance policy would a life lease holder require?

  • A. Condominium insurance
  • B. Mobile home and liability policy
  • C. Tenants package insurance
  • D. Personal liability package
Reveal Solution  Discussion  0

Correct Answer: C  🗳️

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