IC01 PRINCIPLES OF INSURANCE - 27

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Que. 1 : Q1) Which insurance professional decides whether a proposed risk is accepted by an insurer?

   1.  a) Actuary

   2.  b) Risk manager

   3.  c) Risk modeller

   4.  d) Underwriter

Que. 2 : Q2) ______________gets paid by the insurance companies.

   1.  a) Third-party administrator-TPA

   2.  b) Technical Advisory Committee-TAC

   3.  c) IRDA

   4.  d) All of the above

Que. 3 : Q3) Insurers use similar risks to assess the likelihood of a loss occurring, these are called:

   1.  a) Unique risks

   2.  b) Objective risks

   3.  c) Subjective risks

   4.  d) Homogenous exposures

Que. 4 : Q4) Which is the right time for taking life insurance?

   1.  a) When you are about to get married

   2.  b) Soon after you have got married

   3.  c) Just when you are joined a new job

   4.  d) All of the above

Que. 5 : Q5) What is the reason as to why airlines spend huge amounts on security arrangements, backups for flight emergencies etc. even though they have insured their aircrafts ?

   1.  a) Airlines get huge amount of revenues

   2.  b) Airlines get incentives form airport authorities for such arrangements

   3.  c) Because the cost of a crash is perceived to be much larger than amount spend on such arrangements

   4.  d) Airlines have to show how much they spend on customer security