Alberta General Insurance Level 1 Practice Exam

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Ace your Alberta General Insurance Level 1 Exam with our comprehensive practice quiz. Tailored to mimic the real test, our quiz offers detailed explanations, expert tips, and all you need to succeed. Start your path to becoming a licensed professional today!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

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What constitutes Non-Disclosure in an insurance contract?

  1. Failing to document conversations

  2. Not disclosing material facts

  3. Having utmost good faith

  4. Collecting information irrelevant to the policy

The correct answer is: Not disclosing material facts

Non-Disclosure in an insurance contract refers to the failure or omission to disclose material facts that would affect the insurance company's decision to provide coverage. Options A, C, and D are incorrect because they do not accurately describe non-disclosure. Failing to document conversations, having utmost good faith, and collecting irrelevant information may not necessarily constitute non-disclosure unless those actions result in the failure to disclose important facts. Option B is the best choice as it directly relates to the concept of non-disclosure in an insurance contract.