IC02 - LICENTIATE - Practice of Life Insurance 58

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Q 1. The preamble includes the proviso and ______________.

a) Operative Clause

b) Attestation

c) Conditions

d) Schedule
 
Q 2. Mls. Advance life insurance company issued a quotation on 6th March, guaranteed for 14 days and which was accepted on the 12th day. Consequently, the insurer can only decline the risk if_____________.

a) The insurer increases the premium rates

b) Customer submits a second quotation request

c) Stock rate changes

d) Material fact changes
 
Q 3. Mr Mahesh was not in a ? financial position to pay all the premium in full of his insurance policy and so his policy lapsed. This policy was revived under the____________scheme.

a) Special policy revival scheme

b) Regular policy revival scheme

c) Late policy revival scheme

d) Retain all customer motive
 
Q 4. Net Written Premiums = Gross Premium Values X Net Collected Premiums minus______________.

a) Re-insurance Charges

b) Ceding Commissions

c) Bank Interest and Government Taxes

d) Re-insurance Charges and Ceding Commissions
 
Q 5. The days of grace clause is not enforced in ____________.

a) Salary Saving Scheme

b) Postal Life insurance

c) Mediclaim policies

d) Place of payment of premium
 
Q 6. Mr. Khush is married and has two sons. He bought his life insurance under the MWP Act in which he chose to provide benefits to his wife and sons. Both the sons were married with one child each. In a terrible accident Mr. Khush, his wife and younger so

a) The Elder son

b) The legal heir of the younger son

c) Both - The Elder son and the legal heir of the younger son

d) Legal heirs of both the sons
 
Q 7. Which of the following statements is True?

a) MWP Act policies are issued on the lives of unmarried men

b) Once the Policy Matures the Policyholder gets only the Sum Assured

c) In Group Insurance the policy document issued is known as the Master Policy

d) All of the above
 
Q 8. What is the minimum number of years a policy must be kept to be able to get surrender value in Traditional Policies?

a) 2 years

b) 3 years

c) 1 year

d) 5 years
 
Q 9. In how many persons' favor can a nomination be done?

a) One person

b) Two person

c) Three person

d) Any number of persons
 
Q 10. If an agent collects the premium from a policyholder and remits it to the insurance company, he is acting as an agent of_______________.

a) Policyholder

b) Insurance company

c) SEBI

d) IRDAI
 
Q 11. Calculate the Paid Up Value given the following details. Sum Assured is Rs 1 Lakh. The term is 25 years, and payment of the premium is discontinued after 25 half-yearly payments.

a) Rs 1,00,000

b) Rs 50,000

c) Rs 35,000

d) Rs 55,000
 
Q 12. What are the insurance plans called which are specifically meant to meet regular income needs, post-retirement?

a) Whole life assurance plan

b) Endowment assurance plan

c) Annuities

d) Retirement plan
 
Q 13. Q13) Annuities are the same as______________.

a) Interest

b) Paybacks

c) Pension

d) Gratuity
 
Q 14. Surrender value is allowed as a percentage of ________.

a) Vested amount

b) Sum assured

c) Accumulated premium

d) Paid-up value
 
Q 15. What does Underwriting mean?

a) Attending to the Nominations

b) Scrutinising and making decisions on proposals

c) Attending to Assignments

d) Tracking the performance of either party

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