O-LevelCommerceInsurance7100/12 · May/June 2023 · Q251 Mark

A retailer insures his premises against the risk of fire but does not tell the insurer that he sells paraffin in the shop. If there is a fire, which principle of insurance will prevent him from being compensated?

Aindemnity

Binsurable interest

Cproximate cause

Dutmost good faith

✓ Correct answer

D: utmost good faith

Oracle Prep sorts past-paper questions by topic, so you can drill Insurance and see which topics are most likely to come up next.

Topic: Insurance, O-Level Commerce (syllabus 7100). Multiple choice, 1 mark.
Source: O-Level Commerce, May/June 2023 Paper 1 Variant 2, question 25.

Questions and mark schemes are from past examination papers and remain the copyright of the exam board. How Oracle Prep builds its content