Transport Insurance (GSDR2210)
Higher Institute of Transport and Logistics (HITL)
Semester: Second Semester
Level: 200
Year: 2017
LECTURER(S): Prince UZOR F.E
Level: 100 SEMESTER: SECOND Academic Year: 2016/2017
COURSE CODE: TL1211 COURSE TITLE: TRANSPORT INSURANCE
DATE: 19/07/2017 HALL: TIME: 2HRS
Instructions: Answer all questions.
THE UNIVERSITY OF BAMENDA
P.O BOX 39 Bambili
REPUBLIC OF CAMEROON
Peace-Work-Fatherland
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. 17 0
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School/Faculty: HITL DEPARTMENT: General Studies
Question 1:
Mrs. Smith travelled on board an airline from Douala to Lamaca. In the course of the flight, the weather
became challenging leading to severe turbulence. These arouse fright in Mrs. Chou rendering her
nervous. Due to the fear she became unstable and had an urge to use the rest room. On her way, another
serious turbulence occurred resulting to bodily injury. This situation has since destabilized her
psychologically. After several attempts of therapy prove futile, she decided to seek legal actions for her
state. As an insurance professional, discuss her chances on all sides. (20 marks)
Question 2:
A. List and explain three types/areas of aviation insurance coverage (5 marks)
B. What role does the insurance company play in the incidence of a plane crash and what are the
primordial considerations (10 marks)
C. Question 5. Frank insured his car against fire for 500.0000frs and the contract is subject to an
excess of 200.000frs. Mr. Frank incurred partial loss as a result of fire out break on his car which
will cost him 300.000frs to repair. How much is Frank entitled to receive from the insurer? Will
you have a different answer if the contract is subject to a franchise of 300.000frs (5 marks)
Question 3:
Zanza shipping agency specializes in carrying cargoes brought to the seaport base without going to
carry cargoes where ever there available. They have their route from Tiko to Nigeria and from Nigeria
back to Tiko. After loading some cargoes at their departure seaport, one of their customers called the
captain to come over to Gabon and carry some cargoes to Nigeria, the captain went and succeeded in
loading these cargoes, then he took off from Gabon seaport, after four miles on the high sea in Gabon,
the ship developed fault due to huddles encountered in the sea and it will cost the captain of the ship
about 3.000.000frs to repair the ship. The captain presented his claim to his insurer for compensation
and the insurer refused to pay, claiming that he is not liable to pay the claim, and the captain decided to
sue the insurer for denial of liability. You are consulted as an insurance legal adviser, would:
The captain succeed in the law court against the insurer? What may be his defense against the
captain of the ship? Would you advice the captain to withdraw the case against the insurer? And if yes,
why? What are some of the defenses available for the insurer if any in order to succeed in the law
court? (20 marks)
Question 4:
Judiciously explain the following as an insurer in the making
1. What is the essences of cover note in motor insurance (2 marks)
2. Judiciously explain what you understand by a proposal form (2 marks)
3. What are some of the questions aske in a typical motor insurance proposal form? (2 marks)
4. State the methods available in providing indemnity in motor insurance (2 marks)
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