IC S01 - Exam Principles And Practice Of Insurance And Survey And Loss Assessment-9

Get More Mock Tests Here

Q 1. What does the prohibition of additional insurance without insurers' consent aim to control?

a) Under-insurance

b) Over-insurance

c) Policy Fraud

d) Accidental losses

e) Liability claims
 
Q 2. What does the "reinstatement" condition in the insurance policy allow the insurer to do?

a) Pay the full value of the property at the time of destruction.

b) Only pay the amount of damage caused to the property.

c) Choose to either pay the value of the property, reinstate it, or replace it.

d) Automatically replace the property without consulting the insured.

e) Request additional premiums from the insured for reinstatement.
 
Q 3. How can the risk of fire spread from adjoining or nearby premises be minimized?

a) By increasing the vegetation in open spaces

b) By constructing taller buildings to act as barriers

c) By maintaining a clear space between the risk and neighboring premises

d) By creating artificial lakes or ponds as fire barriers

e) By relying solely on firefighting equipment stationed nearby
 
Q 4. What does the Tariff Advisory Committee established by the Insurance Act, of 1938, regulate?

a) Registration of insurance companies

b) Investments of insurance companies

c) Rates, advantages, terms, and conditions offered by insurers

d) Powers and functions of the Insurance Regulatory and Development Authority (IRDA)

e) Code of conduct for insurance agents
 
Q 5. What constitutes the offense of public nuisance under Section 268 of the Indian Penal Code?

a) Any act causing annoyance to an individual

b) Any act causing inconvenience to a private individual

c) Any act or omission causing common injury, danger, or annoyance to the public

d) Any act causing damage to private property

e) Any act causing inconvenience to a specific group of people
 
Q 6. Which of the following is an example of a contingency upon which an insurance contract may depend?

a) Execution of the policy document

b) Payment of the premium

c) Occurrence of an accident

d) Renewal of the contract

e) Submission of the claim form
 
Q 7. What action can the Central Government take regarding the survey or loss assessment work for certain classes of claims?

a) Require all claims to be assessed by licensed surveyors or loss assessors

b) Exempt certain classes of claims from requiring assessment by licensed surveyors or loss assessors

c) Mandate that all surveyors and loss assessors must be members of a specific institute

d) Delegate the assessment work to government agencies

e) None of the above
 
Q 8. In which policy would damages caused by ordinary leakage or inherent vice be excluded?

a) Machinery Insurance Policy

b) Marine Cargo Policy

c) Homeowners Insurance Policy

d) Automobile Insurance Policy

e) Health Insurance Policy
 
Q 9. What caution should be exercised when considering auctioning salvaged goods?

a) Auctioning salvaged goods often leads to cartel formation.

b) Auctions are generally considered distress sales.

c) Auctions typically result in higher-than-expected realizations.

d) Auctions are the most effective method for salvaging goods.

e) Auctions require minimal administrative costs.
 
Q 10. How can smoke marks on the walls of a building help validate a claim for damaged items stored within?

a) By providing evidence of storage measurements

b) By weighing the damaged items

c) By counting the damaged items

d) By using volumetric measurements

e) By simulating storage based on the observed measurements of smoke marks
 
Q 11. How does the text suggest a surveyor should approach the presentation of a survey report?

a) By prioritizing personal preferences and biases

b) By focusing solely on the external appearance of the report

c) By ensuring the report is lengthy enough to cover all possible angles

d) By emphasizing quality of contents over external aesthetic look

e) By avoiding logical structure and coherence in reporting
 
Q 12. What does the Layoff / Retrenchment Compensation cover provide?

a) Compensation for employees affected by fire incidents

b) Compensation for employees laid off or retrenched due to circumstances beyond employer control

c) Compensation for employees injured during work hours

d) Compensation for employees involved in industrial disputes

e) Compensation for employees experiencing reduced work hours
 
Q 13. Which of the following is included in insured standing charges in a profits policy?

a) Variable production costs

b) Advertising expenses

c) Purchase of raw materials

d) Motor car expenses

e) Salaries to temporary staff
 
Q 14. Which of the following is an exclusion under the Public Liability Policy?

a) Liability arising from personal injuries such as libel or slander

b) Liability for damages resulting from the multiplication of compensatory damages

c) Liability for claims arising from the ownership, possession, or use of motor vehicles

d) Liability for damages resulting from earthquakes, floods, or storms

e) Liability for injury to persons under a contract of employment
 
Q 15. What does the deductible in a Hull policy apply to?

a) Total loss or constructive total loss only

b) Damages caused by war and nuclear risks only

c) Damages caused by piracy and theft only

d) Damages arising from each separate accident or occurrence

e) Damages to cargo during transit only


Get More Mock Tests Here