IIQE Paper 2 preparation works best when you can connect a general insurance rule to the wording of a policy and a specific loss. This guide brings together three tasks: planning your Paper 2 revision, understanding pro rata average, and using original practice to identify what needs another attempt.
Try an original question and its explanations →
Start with the Paper 2 format
Paper 2 covers general insurance: 50 multiple-choice questions in 75 minutes, with a 70% pass mark, or 35 correct answers. Before enrolling, check the papers and exemptions relevant to your intended business. Use the current PEAK handbook for arrangements and fees.
A pass mark is different from a candidate pass rate. Practice accuracy also depends on the selected questions, repeat attempts and users. Instead of using one percentage to predict a pass, record whether each error came from a missed condition, a confused principle or the arithmetic.
Average: identify three different figures
For an underinsurance problem, identify the sum insured, the actual value at the time of loss, and the covered loss. Check whether a pro rata average condition applies. Where it does, apply the insured proportion to the covered loss. Do not invent the condition merely because two values differ.
A common error is using the uninsured proportion as the payable proportion. Another is treating the sum insured as the loss. Before calculating, explain in one sentence what your ratio represents. If you cannot explain it, revisit the principle before doing more arithmetic.
Make each insurance scenario test your reasoning
Property cover, legal liability and personal benefits require different decisions. Identify the subject of cover, the event, exclusions and the basis of payment. When two options seem plausible, name the condition in the question that rules one out. Recognising familiar wording is less useful than explaining why it applies.
Use the error to choose your next practice
Try the original website question below. Read the explanation and the reason each competing option fails, then restate the method yourself. Revisit the general insurance and claims notes. Retry without the answer, then vary the figures or scenario to see whether you understand the rule.
The dedicated Paper 2 app offers other topic questions, explanations, wrong-answer review and bookmarks. Download it free to try the approach; choose Pro when you need ongoing practice. Access periods and prices are shown in the purchase screen. Website examples and app records are separate.
After chapter practice, move to timed mixed questions and leave time to check calculations and limiting words. Confirm textbook versions and corrigenda through PEAK Study Notes. These website examples are independently written, rather than official past examination questions.
Frequently asked questions
- Does 70% mean the Paper 2 pass rate?
- No. It is the pass mark: 35 correct answers out of 50. The share of candidates passing, website practice accuracy and your individual chance of passing are different measures.
- Does average apply to every policy?
- No. Check that the task specifies a pro rata average condition, then use the stated policy basis and terms. Do not add a condition merely because the sum insured is below the property's value.
- What should I do after the website example?
- Identify whether the error concerns a condition, denominator or calculation. Revisit the notes, then try other Paper 2 questions in the app. Check its free trial and Pro terms in the purchase screen.





















