Free CII IF1 Exam Questions

Become CII Certified with updated IF1 exam questions and correct answers

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Total 101 Questions | Updated On: Aug 20, 2026

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Question 1

The purpose of the EU solvency requirements for insurers and intermediaries is to

A : create a standard format for the presentation of accounting data.

B : introduce monitoring procedures by the Prudential Regulation Authority.

C : provide authorisation to transact insurance business.

D : strengthen the financial security of the insurer or intermediary.

Answer: A

Question 2

Joel buys a house in a flood plain, but it has NOT flooded for 10 years. In purchasing insurance, Joel is managing what element of risk?

A : Uncertainty.

B : Statutory requirements.

C : Frequency.

D : Certainty.

Answer: A

Question 3

What legally recognised financial relationship must exist, between a policyholder and the items being insured, to constitute a valid household contents insurance policy?

A : Insurable interest.

B : Risk indemnity.

C : Vicarious liability.

D : Delegated authority.

Answer: A

Question 4

The website of an insurer must include the company's registered name, trading address, contact details and regulator. This is in accordance with rules enforced by the

A : Advertising Standards Authority.

B : Competition and Markets Authority.

C : Prudential Regulation Authority.

D : Financial Ombudsman Service.

Answer: D

Question 5

If an insurer invokes the cancellation clause to cancel a policy mid-year due to a change in the risk, how much of the premium, if anything, is normally returned to the policyholder?

A : The full year's premium less a fixed nominal charge.

B : The full year's premium.

C : None of the premium.

D : A pro rata amount.

Answer: A

Page: 1 / 21

Total 101 Questions | Updated On: Aug 20, 2026

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