IC85 REINSURANCE MANAGEMENT EXAM - 12
| Q1.The two types of Reinsurance are |
| a) Proportional and Non-Proportional |
| b) Treaty and Facultative |
| c) Proportional and Facultative |
| d) Non-Proportional and Treaty |
| Q 2. The practice of reciprocal reinsurance trading is more often used in the case of____ business. |
| a) Fire insurance |
| b) Life insurance |
| c) Aviation insurance |
| d) Accident/liability insurance |
| Q3.While preparing a summary sheet in the case of reciprocal exchange, Which of the following information is not included? |
| a) Adequacy of rate |
| b) Commission |
| c) Incurred claims |
| d) Net result |
| Q4.ABC is a reinsurance company. it gets into a contract with another reinsurance company: XYZ Reinsurance Co.Ltd . such contracts between two reinsurance companies are known as___ |
| a) Facultative reinsurance |
| b) Treaty reinsurance |
| c) Retrocession |
| d) Facultative obligatory reinsurance |
| Q5.What is the principal objective of the F.A.I.R pool? |
| a) To accept insurance and reinsurance business from the African and American markets |
| b) To accept insurance and reinsurance business from the African and Asian markets |
| c) To accept insurance and reinsurance business from the Australian and American markets |
| d) To accept insurance and reinsurance business from the Asian and Chinese markets |
| Q6.Which of the following forms of reinsurance is used to facilitate the writing of high-value exposures or to deal with high accumulation? |
| a) Facultative |
| b) Retrocession |
| c) Treaty reinsurance |
| d) Facultative obligatory treaty |
| Q7.Because of the different laws and insurance practices prevailing the following countries are usually excluded, where treaties are as a `worldwide basis- |
| a) Engl and Irel and |
| b) Germany and France |
| c) the United States of America and Canada |
| d) Malaysia and Mauritius |
| Q8.Excess of loss treaties can be classified as |
| a) per occurrence |
| b) per risk |
| c) aggregate excess |
| d) all the above |
| Q9.___are reinsurance agreement entered into in writing between the ceding insurer and his reinsurer and embody the terms and conditions of the treaty as agreed between these two parties. |
| a) Reinsurance contract |
| b) Treaty wordings |
| c) Slips |
| d) Cover notes |
| Q10.Following reinsurance companies are underwriting business in India: |
| a) Munich Re |
| b) Swiss Re |
| c) Axa Re |
| d) GIC Re |