CII Certificate in Insurance - Motor Insurance Products (IF5) Practice Test

The additional risk associated with buses in relation to motor fleet underwriting primarily revolves around the higher likelihood of insurance claims due to accidents. Buses typically carry a larger number of passengers and operate in diverse environments, such as urban areas with heavy traffic. This increases the potential for accidents, which can result in a significant number of claims. Buses also face unique operational challenges, such as longer stopping distances and the need for more vigilance in various driving conditions, which can further elevate the risk of collisions.

While it is true that buses may also incur higher fuel consumption and increased maintenance costs, these factors don't directly relate to the risks of accidents or claims in the same way that accidents do. The collaborative nature of public transport adds further complications, as any incident can result in greater liability and multiple claims simultaneously, making the risk profile for buses distinctively higher in terms of potential insurance outcomes.