Registered Insurance Brokers of Ontario (RIBO) Practice Exam

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Prepare for the Registered Insurance Brokers of Ontario Test. Study with comprehensive flashcards and multiple choice questions, each question provides hints and detailed explanations. Ace your exam with confidence!

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After receiving a proof of loss, within how many days must the insurer pay for the damage to the automobile?

Within the next year
Must negotiate settlement
Within 90 days
Within 60 days

The correct answer is: Within 60 days

After receiving a proof of loss, the insurer has a legal obligation to pay for the damage to the automobile within a certain amount of time. Option A is incorrect because waiting a whole year to pay for the damages would not be fair or timely for the policyholder. Option B is incorrect because the insurer is not just allowed to negotiate a settlement, they are required by law to pay for the damages within a specified time frame. Option C is incorrect, although closer to the correct answer, because 90 days is a longer time frame than the required amount of time which is 60 days. Therefore, the correct answer is D, within 60 days.