Alberta General Insurance Level 1 Practice Exam

Question: 1 / 400

What does duty of care entail?

Legal responsibilities in financial transactions

Exercise of reasonable care towards others' interests

Duty of care refers to the legal and ethical responsibility to act in a reasonable and prudent manner towards the interests and well-being of others. This can include taking necessary precautions to prevent harm, following established standards of care, and exercising caution in decision making. Options A, C, and D do not accurately describe the concept of duty of care as they do not involve considering the well-being or interests of others. Option A specifically refers to financial transactions, option C mentions service fees, and option D relates to a landlord-tenant agreement. Therefore, these options are incorrect in the context of duty of care.

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A contractual obligation for service fees

A binding agreement between tenant and landlord

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