IC11 - LICENTIATE - Practice Of General Insurance 39
IC11 - LICENTIATE - Practice Of General Insurance 39
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Q 1. Which of the following statements is True? (1) the proposer need not disclose facts that he considers as not material. (2) Facts that are common knowledge need not be disclosed.
a) Statement 1 is True
b) Statement 2 is True
c) Both are true
d) Both are false
Q 2. Which of the following statements is True? (1) insurance prevents the losses from happening (2) Insurance spreads the losses amongst the insured
a) Only Statement 1
b) Only Statement 2
c) Both Statements
d) Neither of the Statement
Q 3. The sharing of a claim between two insurers is called
a) Subrogation
b) Contribution
c) Reinsurance
d) Reinstatement
Q 4. Which of the following is not required for the Underwriting return?
a) Monthly Claims Paid Settlement
b) Preliminary Intimation of Claims
c) Analysis of the Number of claims
d) Summary statement of Gross Premium
Q 5. Which one of the following is not one of the principles governing insurance contracts?
a) Principle of Utmost Good Faith
b) Principle of Insurable Interest
c) Principle of Indemnity
d) Principle of Honesty
Q 6. Prospecting in an insurance sale is
a) Gathering the names of people who may be interested in insurance
b) Preparing a list of all the persons in the city
c) Enlisting all the policyholders of the branch office
d) Preparing a list of all the agents in the neighborhood
Q 7. Which of the following risks excluded under ICC clauses can be covered on payment of an extra premium?
a) Loss by delay
b) Loss from insolvency of owners of the vessel
c) Loss due to inadequate packing
d) War and kindred perils
Q 8. Adverse selection refers to
a) Selection of adversities
b) Selection of losses
c) Selection of risks
d) Selection of high-risk at low cost
Q 9. Which of the following extraneous risks can be added under ICC (B) clauses on payment of extra premium?
a) Heading
b) Sweating
c) Breakage
d) All of the above
Q 10. Which of the below statements is true about cover notes?
a) Cover notes are predominantly used in life insurance
b) Cover notes are predominantly used in all classes of general insurance
c) Cover notes are predominantly used in health insurance
d) Cover notes are predominantly used in marine and motor classes of general insurance
Q 11. Which of the following does not affect the amount of loss payable under the policy?
a) Breach of utmost good faith
b) Salvage
c) Pro-rate average
d) Excess clause
Q 12. What does not go on to make a healthy relationship?
a) Attraction
b) Trust
c) Communication
d) Scepticism
Q 13. Q13) Which of the following is not a criterion for the rate of premium for private cars under the Motor Insurance Policy?
a) Seating Capacity
b) Geographical Area
c) Declared Value of the Car
d) Cubic Capacity of the Car
Q 14. What happens to the risk if the deposit to the credit of the insured is insufficient to cover a consignment in transit?
a) The risk is terminated
b) The risk is equal to the entire amount of the policy value
c) The risk is equal to the entire amount of commission
d) The risk is equal to the entire amount of discount
Q 15. Architects' fees are covered upto____% of the claim amount under standard fire and special perils policy
a) 1%
b) 2%
c) 3%