IC01 PRINCIPLES OF INSURANCE - 22

Que. 1 : Q1) The total of the actual loss and the consequential loss is known as the ______________.

   1.  a) Maximum Possible Loss

   2.  b) Minimum Possible Loss

   3.  c) Probable Maximum Loss

   4.  d) Maximum Probable Loss

Que. 2 : Q2) A proposer for an insurance policy who has previously made fraudulent insurance claims would be classed by an underwriter as a

   1.  a) poor moral hazard

   2.  b) good moral hazard

   3.  c) poor physical hazard

   4.  d) good physical hazard

Que. 3 : Q3) Motor Insurance covers which of the following?

   1.  a) Damage to the car only

   2.  b) Damage to the individual

   3.  c) Damage to the property belonging to third parties

   4.  d) All of the above

Que. 4 : Q4) There are 700 Car owners in a city. On an average it is expected that 2% of the cars are likely to meet with an accident. It is expected the loss suffered by each of the 14 car owners will be Rs 15,000. How much will be the premium required to be contributed by each of the car owners to cover the losses?

   1.  a) Rs 100

   2.  b) Rs 200

   3.  c) Rs 300

   4.  d) Rs 400

Que. 5 : Q5) Who prescribes the qualifications and trainings necessary for grant of licenses and for categorisation of surveyors?

   1.  a) Insurers

   2.  b) Tariff Advisory Committee

   3.  c) A representative committee

   4.  d) IRDA Regulations