IC57 FIRE AND CONSEQUENTIAL LOSS INSURANCE - 16
| Q1.The surveyor should thoroughly examine the policies to ascertain: 1. The scope of coverage 2. The book value of damaged property 3. The warranties applicable 4. The value of salvage 5. The property excluded |
| 1, 2 and 3 |
| 1, 3 and 5 |
| Only 1 |
| 2, 3 and 4 |
| All 1, 2, 3, 4 and 5 |
| Q2.While calculating the basis rate, the contents for any storage blocks ____. |
| has to be added to the premium rate |
| has to be considered by the surveyors |
| has to be considered by the underwriters |
| has to be considered by the assessor |
| should be never taken into consideration |
| Q3.The audit fees paid to auditors to produce the information required by the surveyors can be insured under CL policy. Is this statement valid - Debate. |
| Such audit fees can be insured |
| Such audit fees cannot be insured |
| Such audit fees are considered as variable charges |
| Such audit fees are considered as standing charges |
| Such audit fees can be insured, but it all depends on the insurer's views |
| Q4.Any endorsement would have the same basic information as is found in the __. |
| Surveyors Report |
| Underwriters Report |
| Policy Format |
| Proposal |
| Risk assessment Report |
| Q5.Mr. Kiran is an industrialist and has two factories - A Bulk Drug factory (Rs. 3.00 per millee ) and a Pharmaceutical factory (Rs 2.25 per millee). Both the factories are situated in the same compound. How will the ratings be done? |
| The ratings will be done at an average rate of Rs. 3 and Rs. 2.25 - that is at Rs. 2.625 |
| The ratings will be done by adding the two rates of Rs. 3 and Rs. 2.25 - that is at Rs. 5.25 |
| The ratings will be done at their individual respective rates |
| The ratings will be done at the highest rate among the two i.e. at Rs. 3.00 |
| The ratings will be done at the lowest rate among the two i.e. at Rs. 2.25 |
| Q6.While judging the merits and demerits of factory floors, Mr. Sinha is paying special attention to the two considerations - a) Material Employed and b) Existence of floor openings. Is his approach right? |
| No, he should use Material Density and Material Resistance as the two considerations |
| No, he should use Material Density and Material Load as the two considerations |
| No, he should use the Existence of floor openings and Material Resistance as the two considerations |
| No, he should use Material Density and Material Employed as the two considerations |
| Yes, he is right in using Material Employed and the Existence of floor openings as the two considerations |
| Q7.Identify the categories in which 'Solids which are moderately or slightly combustible' and 'Explosives' are classified into. |
| The former is classified in Category III and the latter is classified in Category II |
| The former is classified in Category II and the latter is classified in Category I |
| The former is classified in Category I and the latter is classified in Category III |
| The former is classified in Category I and the latter is classified in Category II |
| The former is classified in Category III and the latter is classified in Category I |
| Q8.The first document which an insurer has to make is ____. |
| Risk assessment report |
| Fire report |
| Proposal form |
| Fire resistance report |
| Coverage report |
| Q9.An insurer wishes to invoke the reinstatement condition for all future policies. What do you suggest? |
| The reinstatement condition can be invoked only if no other condition is intended to be invoked |
| The insurer can go ahead with the proposal subject to IRDAI guidelines. |
| Invoking reinstatement conditions is mandatory as per IRDAI guidelines, hence the insurer does not have any option |
| Reinstating is an option available to the insured, hence the insurer should exercise discretion |
| The insurer can go ahead with the proposal |
| Q10.Can an insurer cover loss with an add-on, caused by impact damage due to vehicles other than vehicles of the insured? |
| No, as impact damages cannot be covered without IRDAI approvals |
| No, as an add-on is not required for such an impact damage |
| No, as impact damage due to vehicles of others cannot be recovered. |
| No, as impact damages due to vehicles cannot be covered |
| Yes, the insurer can cover such loss with an add-on |