IC85 REINSURANCE MANAGEMENT EXAM - 17
| Q1.___ can be seen as the opposite of insurance securitization. |
| Spread Loss Covers |
| Capital Markets |
| Insuratization |
| ART |
| Retrospective Finite Risk |
| Q2.Identify the factor(s) which are taken into account while determining the total cost of risk - 1. The cost of any risk control measures 2. The cost of injury or damage 3. The cost of handling and settling the loss |
| Only 1 |
| Both 2 and 3 |
| Both 1 and 2 |
| All 1,2 and 3 |
| Only 3 |
| Q3.Techniques and approaches like Study and Enquiry, Physical inspections, Checklists, Flow Charts, etc. are used for ____ of risks? |
| Identification |
| Solving |
| Evaluation |
| Assessment |
| Control |
| Q4.Which of the following ambitions is an organization's capability to generate net income? |
| Good Balance Sheet |
| Growth |
| Stability of earnings |
| Continuity of operations |
| Profitability |
| Q5.A business faces the possibility that it will be held legally liable for property damage or personal injuries suffered by others - Identify what type of loss exposure is this? |
| Common Loss Exposure |
| Property Loss Exposure |
| Liability Loss Exposure |
| Personnel Loss Exposure |
| Net Income Loss Exposure |
| Q6.Identify which is NOT an example of Funded Traditional Contingent Capital tool? |
| Income / Asset swaps |
| Banking products |
| Contingent debt |
| Captives |
| Securitization |
| Q7.The process of Risk Management involves either - 1. Preventing losses 2. Minimizing losses 3. Paying for those losses which will inevitably occur |
| Only 1 |
| Only 2 |
| Both 1 and 2 |
| Both 2 and 3 |
| All 1,2 and 3 |
| Q8.Which of these are the aftermaths of a disaster? 1. The interruption period is quite long 2. Property damage 3. Substantial loss to life |
| Only 1 and 2 |
| Only 2 and 3 |
| Only 1 and 3 |
| Only 3 |
| All 1, 2 and 3 |
| Q9.CAT bonds, Credit securitization, Weather derivatives, and Finite risk products - these are examples of ___. 1. Risk Retention Groups 2. Alternatives to insurance products 3. Insurance products |
| Only 1 |
| Only 2 |
| Only 3 |
| Both 1 and 3 |
| All 1,2 and 3 |
| Q10.In respect to the risk triangle which shows the degrees of risks, the apex or tip of the degree of this triangle indicates that there may be a small number of risks that may have the most devastating effect so that it will make it impossible for the business to achieve any of its targets. What are such risks termed as? |
| Organizational Risks |
| Catastrophe Risks |
| Minor Risks |
| Moderate Risks |
| Major Risks |