CII Certificate in Insurance - Insurance Underwriting Process (IF3) 2025 – 400 Free Practice Questions to Pass the Exam

In the context of motor insurance policies, the correct choice regarding the limitation on the number of claims typically reflects standard practices within the industry. Many motor insurance policies do not impose a specific limit on the number of claims that can be made within a policy year. Policyholders generally have the ability to file multiple claims without a cap, although frequent claims can lead to increased premiums or difficulty in securing coverage in the future.

This approach allows consumers to feel secure knowing they can seek compensation for covered incidents as they occur, without the concern of reaching a predetermined claim limit. However, it is important to note that while there may not be a claim limit, insurance companies often have protocols in place to assess risk and may adjust the terms, policy premiums, or even deny coverage upon excessive claims over time.

Other options suggest specific limits based on various factors, but these do not align with standard practice in most motor insurance policies, which favor a more flexible approach to claims.