Alberta General Insurance Level 1 Practice Exam

What role do brokers play among the functions of intermediaries?

1. Providing producer services only

2. Handling limited claims only

3. Offering claims, loss control, and other functions

4. Acting as employed agents without producer services

The correct answer is: Offering claims, loss control, and other functions

Brokers play a key role among the functions of intermediaries by offering a diverse range of services including claims, loss control, and other useful functions. Option A is incorrect because brokers not only provide producer services, but also additional services such as risk management and claims handling. Option B is incorrect because brokers handle a wide range of claims, not just limited ones. Option D is incorrect because brokers not only act as employed agents, but also offer other important functions beyond producer services and claims handling. Therefore, the correct answer is C.