IC45 GENERAL INSURANCE UNDERWRITING - 05
| Q1.___is a contract of insurance between a primary insurer and a reinsurer whereby the primary insurer transfers a part of its business to the reinsurer in return for a commission called the ceding commission. |
| a) Exclusions |
| b) Reinsurance |
| c) Conditions |
| d) Warranties |
| Q2.In order to be able to use the claims experience of a different portfolio, the portfolio in question has to be put into a suitable form and represented as a loss distribution. This presentation of loss distribution in graphical form, in the form of curves, is known as ______. |
| a) Experience curve |
| b) Schedule curve |
| c) Exposure curve |
| d) None of these |
| Q3.___ making is the process of calculating a price the future cost of insurance claims and expenses, including a margin for profit. |
| a) Amount |
| b) Estimate |
| c) Rate |
| d) General |
| Q 4. Who is a senior officer appointed by the insurer to ensure compliance with the requirements of the 'F and U' guidelines? |
| a) Chief executive officer |
| b) Compliance Officer |
| c) Appointed Actuary |
| d) Advocate |
| Q5.The main purpose and the objective of underwriting are deciding the level of acceptability, adequacy of premium, and other terms for such as____. |
| a) Name transfer |
| b) Authority transfer |
| c) Risk transfer |
| d) Transmission |
| Q6.The preferred rate represents the highest rates offered by an insurer for its coverage. Say whether True or False. |
| a) True |
| b) False |
| Q7.Is the amount that is calculated using actuarial techniques aimed at ensuring that the insurer earns profit even after payment of certain claims? |
| a) Interest |
| b) Premium |
| c) Maturity amount |
| d) None of these |
| Q8.The limit of acceptance is basically the limit of sum insured up to which the operating office can underwrite the risk without referring to the ______. |
| a) Commissioner |
| b) Agent |
| c) Controlling Office |
| d) Principal |
| Q 9. Any communication received from a policyholder shall be responded to within ____ of its receipt. |
| a) 10 days |
| b) 15 days |
| c) 30 days |
| d) 45 days |
| Q10.Which of the following system represent a compromise between the prior approval system and the no-file system? |
| a) File and Use Laws |
| b) Flex Rating Regulation |
| c) Use and File System |
| d) None of the above |