Alberta General Insurance Level 1 Practice Exam 2025 – 400 Free Practice Questions to Pass the Exam

A healthy insurance marketplace is characterized by various features that ensure consumers have access to the necessary products and services that meet their needs effectively. Limited product availability is not a trait of a healthy marketplace because consumers should have a range of options to choose from. This variety allows individuals and businesses to select insurance coverages that align with their specific risks and requirements.

In contrast, a healthy insurance marketplace ensures that the needs of consumers are actively met. It also supports fairly priced products, where insurance providers offer premiums that reflect the risks and coverage being insured, making it so customers can afford the necessary protection. Furthermore, a healthy marketplace fosters fair treatment of both insureds and claimants, ensuring that individuals feel supported and valued during the claims process, which enhances trust and satisfaction within the insurance ecosystem.

In summary, limited product availability undermines the fundamental principles of a competitive and responsive insurance market, making it clear why this characteristic does not align with the ideals of a healthy insurance marketplace.