Alberta General Insurance Level 1 Practice Exam

Which of these steps should brokers follow when they receive a policy?

1. Review for accuracy

2. Ignore any inaccuracies

3. Send the policy back to the insurer immediately

4. Discard any expiring documents

The correct answer is: Review for accuracy

Brokers should always review a received policy for accuracy before taking any further action. Option B, ignoring inaccuracies, could lead to potential errors or problems down the line. Option C, sending back the policy immediately, may not be necessary if the inaccuracies are minor and can be corrected. Option D, discarding any expiring documents, is not a necessary step in handling a received policy. Remember, accuracy is key in the insurance industry, so always review policies carefully before proceeding.