IC02 - LICENTIATE - Practice of Life Insurance 57

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Q 1. The Schedule of a Policy Document, mentions Several Significant Particulars. Which One of the Following, may not appear in the Schedule?

a) Premium-Amount

b) Policy-Number

c) Name of Proposer

d) Method of Premium-Payment
 
Q 2. What is the main purpose of the Guaranteed Insurability Rider Bene?t?

a) To give the policyholder the right to increase cover when a key life event occurs

b) To give the policyholder the right to health cover

c) To give the policyholder the right to maintain cover despite a fall in investment value

d) To give the policyholder the right to cover all possible unforeseen life events
 
Q 3. IRDAI regulations state that IGMS must be set up by____________.

a) All insurers

b) All insurers who have a foreign tie-up

c) Only Life insurers

d) Only Life insurer
 
Q 4. Human Life Value forms the economic foundation of

a) Property insurance

b) Life insurance

c) Liability insurance

d) Miscellaneous insurance
 
Q 5. Which of the following statements is TRUE? A - Insurance-related cases are considered by the Consumer Protection Act B - An insurance agent can be sued under the Consumer Protection Act C - Government companies do not fall under the preview of Consumer

a) Only statement A is true

b) Only statement B is true

c) Only statement C is true

d) Both statements A and B are true
 
Q 6. ______________an insurance policy is the process of class? Cation, rating, and selection of risks associated with the policy.

a) Formfitting

b) Investing in

c) Selecting

d) Underwriting of
 
Q 7. If the Sum Assured is Rs 50,000 with no-sum assured rebate for a person whose date of birth is 10th April 1975 and the date of proposal for this policy is 10th April 2009. The proposal is accepted at an occupational extra premium of Rs 5/- %. The tab

a) Rs, 2850

b) Rs, 790

c) Rs, 3870

d) Rs, 1425
 
Q 8. Concerning Joint Life Assurance policies, which of the following statement(s) is/are true?

a) Underwriting of each life is done separately

b) Underwriting of each life is done similarly

c) Ajoint life declaration is not necessary to establish a joint insurable interest

d) All the above
 
Q 9. The date on which the child completes 18 years of age and the title of the policy passes to the insured child is called_______________.

a) Major date

b) Applicable date

c) Vesting date

d) Deferred date
 
Q 10. Which of the following statements is True? (1) The insured Declared value of the vehicle is fixed based on the manufacturer's listed selling price of the brand and model of the vehicle at the commencement of insurance. (2) The Insured Declared value

a) Statement 1 is True

b) Statement 2 is True

c) Both are true

d) Both are false
 
Q 11. For how long have the benefits of Endowment Policies continued?

a) Even after the policy getting lapsed

b) Even after the accidental death of the insured

c) Even after the death of the insured

d) Even after the injury of the insured
 
Q 12. The main function of an insurance agent is to

a) Solicit and Procure life insurance business

b) Offer rebate to policyholders

c) Act against the interest of the insurer and protecting the interests of Policy Holders

d) None of the above
 
Q 13. Q13) How is a Whole Life Policy different from a Term Policy?

a) A whole life insurance policy accumulates cash value whereas a term policy does not

b) In a whole life policy, no premiums are required when the insured turns age 60

c) Premium rates are lesser for the whole life than a term insurance policy

d) Premium on a whole life insurance policy increases each year
 
Q 14. (1) Rates of premium for motor third-party risks are fixed by the IRDA. (2) Rates of premium for motor own risks are fixed by the tariff advisory committee.

a) Statement 1 is True

b) Statement 2 is True

c) Both are true

d) Both are false
 
Q 15. Which of these statements is TRUE?

a) Insurance is a function of uncertainty

b) Damage to an asset due to peril is called risk, which the asset is exposed to

c) Life insurance protects the life of the insured

d) Both 1 and 2 are correct


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