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Insurance Institute of Canada

Insurance, Canada, Ontario, Toronto

Leading provider of insurance education and certification programs, empowering professionals to excel in the insurance industry.

About Insurance Institute of Canada

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Basics

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Main Office
Canada, Ontario, Toronto
Official Website
http://www.insuranceinstitute.ca
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FAQs – Insurance Institute of Canada

Are deductibles the same for all types of insurance?

No, deductibles vary by insurance type. Health insurance may have annual deductibles, while auto and home insurance deductibles apply per claim. The amount also depends on the policy and insurer’s terms.


Can AI replace human workers completely?

AI can automate certain tasks, but it lacks human creativity, emotional intelligence, and complex problem-solving skills, making human oversight and collaboration essential in most fields.


How do insurance companies detect adverse selection?

Insurers use underwriting, medical exams, credit scores, and past claims history to assess risk. They may also require disclosures or use big data analytics to predict an applicant’s likelihood of filing claims. These techniques help them price policies more accurately.


Does trip cancellation insurance cover COVID-19-related cancellations?

Many policies cover COVID-19 if the traveler contracts the virus before departure. Some plans offer "Cancel for Any Reason" (CFAR) coverage for broader cancellation options, including fear of travel.


Is term insurance available for seniors?

While term insurance is typically cheaper for younger individuals, some insurers offer policies for seniors, though premiums are higher and coverage terms may be limited.


How do insurers invest policyholder premiums?

Insurers invest collected premiums in various financial instruments such as bonds, stocks, real estate, and other assets to generate returns. These investments help insurers remain solvent, pay claims, and maintain competitive premium rates. Investment strategies depend on risk tolerance and regulatory requirements.


What is the difference between term life and whole life insurance?

Term life insurance provides coverage for a specified period, typically 10-30 years, with no cash value. Whole life insurance offers lifelong coverage with a cash value component that grows over time.


Does subrogation apply to property insurance?

Yes, property insurers recover costs from at-fault parties when property damage results from negligence, defective products, or contractor errors.


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