Exam M05 Topic 1 Question 93 Discussion

Actual exam question for CII's M05 exam
Question #: 93
Topic #: 1
Which of the following is a key principle of insurance that ensures that a policyholder is not overcompensated for a loss?

Suggested Answer: B Vote an answer

The principle of indemnity ensures that the policyholder is compensated only to the extent of the loss suffered and does not profit from an insurance claim. This principle is essential to prevent overcompensation.

by Duke at May 28, 2026, 02:34 PM

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