IC01 (LICENTIATE) Principles of Insurance -10
| Q1.The characteristics of good ethical behavior include __. |
| Full disclosure of all facts |
| Keeping in confidence all business and personal information of the customer |
| Placing the best interest of customer above one's own direct or indirect benefits |
| All of the above |
| None of the above |
| Q2.Which option is dissimilar from the other 4 options? |
| Duplication |
| Hedging |
| Separation |
| Diversification |
| None of the above |
| Q3.What is the maximum amount of a Micro Insurance policy? |
| Rs 5000 |
| Rs 10000 |
| Rs 50000 |
| Rs 75000 |
| Rs 100000 |
| Q4.Which of these is/are covered under Life Insurance? |
| Cost of hospitalization, if the stay in hospital is more than 24 hours |
| Injury at the place of work |
| Protection from damage caused due to a defective product |
| Benefits at the death of an insured individual |
| All of above |
| Q5.____ involves keeping backup copies so that any loss will neither interrupt business nor be irretrievable. |
| Diversification |
| Hedging |
| Separation |
| Differentiation |
| Duplication |
| Q6.The term used when the reinsurer has the right to decide whether they should accept the risk or not is ____. |
| Facultative reinsurance |
| Surplus reinsurance |
| Pool arrangement |
| Covering limit |
| Excess of loss |
| Q7.Insurance Ombudsman was formed by the Government of India vide its notification dated ___. |
| 11th November 1995 |
| 11th November 1996 |
| 11th November 1997 |
| 11th November 1998 |
| 11th November 1999 |
| Q8.A co-payment or co-pay is a term used in __. |
| Wealth insurance |
| Health insurance |
| Marine insurance |
| Fire insurance |
| Term insurance |
| Q9.In respect of Health Plans which are offered by insurance companies, which of the below is INCORRECT? |
| For hospitalization, an amount is fixed as a percentage of the sum assured for every day in the hospital |
| There is a sum assured which is the basis for determining the amount of benefits |
| The benefits for health benefits in life insurance is not by way of reimbursement of medical expenses |
| For critical illness, there will be a fixed amount payable as a cash benefit which is a one-time payment |
| There are no exclusions in a health plan in life insurance |
| Q10.In a ___ policy, premiums are paid for a shorter period than the actual term whereas, in a _____ policy, all premiums are paid in the first year itself, at the start of the policy. |
| Single, Limited Period |
| Limited Period, Single |
| Renewal Premium, First Premium |
| Endowment, Term |
| First Premium, Renewal Premium |