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301. |
A co-operative bank is established for the interest of |
A. | Members involved |
B. | Public |
C. | Lower status in the society |
D. | Investors |
Answer» A. Members involved |
302. |
A cheque is an order to a bank to pay a stated sum from the |
A. | Fixed Deposit A/c |
B. | Drawer‟s A/c |
C. | Loan A/c |
D. | Recurring Deposit A/c |
Answer» B. Drawer‟s A/c |
303. |
Which of the following is not the function of RBI? |
A. | Acting as banker to the government |
B. | Keeping of foreign exchange reserve |
C. | issuing of one rupee notes and coins |
D. | regulating credit in the country |
Answer» C. issuing of one rupee notes and coins |
304. |
The accounting year of the Reserve bank of India come from? |
A. | 1st july – 1st june |
B. | 1st April – 30th March |
C. | 1st July – 30th June |
D. | 1st January – 31st December |
Answer» C. 1st July – 30th June |
305. |
What is the most widely used tool of monetary policy? |
A. | issuing of notes |
B. | open market operations |
C. | Discount rate |
D. | none of these |
Answer» B. open market operations |
306. |
Co-operative banks which work at metropolitan level are called as? |
A. | District central Co-operative bank |
B. | State co-operative bank |
C. | Primary Urban Co-operative Bank |
D. | Primary Agricultural Credit Societies |
Answer» D. Primary Agricultural Credit Societies |
307. |
Which committee recommended the set-up of Regional Rural Banks? |
A. | Nayak Committee |
B. | AP Shah Committee |
C. | Narsimhan Committee |
D. | Rangarajan Committee |
Answer» C. Narsimhan Committee |
308. |
Which of the following is not the function of commercial banks: |
A. | issuing currency |
B. | transfer of funds |
C. | credit creation |
D. | all the above |
Answer» A. issuing currency |
309. |
Payment of cheque can be stopped by |
A. | beneficiary |
B. | drawer of cheque |
C. | Nominee |
D. | all the above |
Answer» B. drawer of cheque |
310. |
________is a fixed payment amount made by a borrower to a lender at a specified date each calendar month. |
A. | Equated Monthly Instalment |
B. | Primary Lending Rates |
C. | Deposit Rates |
D. | None of the above |
Answer» A. Equated Monthly Instalment |
311. |
Quantitative Credit control does not include: |
A. | Bank rate |
B. | RBI directives |
C. | Cash reserve ratio |
D. | Open market operations |
Answer» B. RBI directives |
312. |
The RBI was nationalized in |
A. | 1948 |
B. | 1949 |
C. | 1950 |
D. | 1951 |
Answer» B. 1949 |
313. |
Currency notes of Rupee 1 and its subsidiary coins are issued by the |
A. | Reserve Bank of India |
B. | State Bank of India |
C. | Ministry of Finance, Government of India |
D. | Securities and Exchange Board of India |
Answer» C. Ministry of Finance, Government of India |
314. |
Extending credit facilities to farmer and small-scale industrial units is the main purpose of |
A. | Development banks |
B. | EXIM bank |
C. | Cooperative bank |
D. | Commercial bank |
Answer» C. Cooperative bank |
315. |
In order to inject money into the economy, RBI |
A. | Raises CRR |
B. | Lowers CRR |
C. | Raises SLR |
D. | Sells in the open market |
Answer» B. Lowers CRR |
316. |
Cooperative banks has three-tier structure, at the top, there is |
A. | Primary Credit Society |
B. | Central Cooperative Bank |
C. | State Cooperative Bank |
D. | None of the above |
Answer» C. State Cooperative Bank |
317. |
A cheque dated subsequent to the date of its issue is |
A. | Post dated cheque |
B. | Blank cheque |
C. | Crossed cheque |
D. | Account payee cheque |
Answer» A. Post dated cheque |
318. |
Which banks which accept deposits from the public and lend them mainly to commerce for short periods? |
A. | Commercial Bank |
B. | Industrial Bank |
C. | Agricultural Bank |
D. | Central Bank |
Answer» C. Agricultural Bank |
319. |
The person or company who bears the risk of providing money at the end of a period of time or losses due to accident are known as |
A. | insurer |
B. | insured |
C. | insurance |
D. | none of the above |
Answer» A. insurer |
320. |
The person or company which gets compensation at the end of the period of time for loss due to accident is called |
A. | insurer |
B. | insured |
C. | insurance |
D. | none of the above |
Answer» B. insured |
321. |
Which of the following is not an importance or necessity of Insurance? |
A. | Reduction of risk |
B. | Supply of capital |
C. | Employment opportunity |
D. | Increase of business expenses |
Answer» D. Increase of business expenses |
322. |
Risk may be |
A. | Objective |
B. | Subjective |
C. | Both |
D. | None |
Answer» C. Both |
323. |
Objective Risk is defined as the relative variation of |
A. | Actual loss from expected loss |
B. | Expected loss from actual loss |
C. | Expected profit from actual loss |
D. | Actual loss from expected profit |
Answer» A. Actual loss from expected loss |
324. |
Uncertainty based on a person‟s mental condition or state of mind is |
A. | Objective Risk |
B. | Subjective Risk |
C. | Both |
D. | None of the Above |
Answer» B. Subjective Risk |
325. |
Which of the following are the types of Risks |
A. | Financial and non financial risk |
B. | Static and dynamic risk |
C. | Pure and Speculative Risk |
D. | All of the above |
Answer» D. All of the above |
326. |
The principle functions of an insurance contract are |
A. | To define the risk that is to be transferred |
B. | To state the conditions under which the contract applies |
C. | To explain the procedure for settling losses |
D. | All of the Above |
Answer» D. All of the Above |
327. |
Insurance principle does not include |
A. | Principle of indemnity |
B. | Principle of utmost good faith |
C. | Principle of knowledge |
D. | Principle of insurable interest |
Answer» C. Principle of knowledge |
328. |
___________is the oldest form of insurance |
A. | Motor insurance |
B. | Marine insurance |
C. | Fire |
D. | Life |
Answer» B. Marine insurance |
329. |
Life insurance made its first appearance in England in the |
A. | 14th century |
B. | 15th century |
C. | 16th century |
D. | 17th century |
Answer» C. 16th century |
330. |
Risk may be: |
A. | objective |
B. | subjective |
C. | Both (a) and (b) |
D. | None of the above |
Answer» C. Both (a) and (b) |
331. |
The General Insurance Business Nationalization Act was passed in |
A. | 1952 |
B. | 1972 |
C. | 1962 |
D. | 1982 |
Answer» B. 1972 |
332. |
Life Insurance Corporation of India headquarter is in |
A. | Delhi |
B. | Chennai |
C. | Guwahati |
D. | Mumbai |
Answer» D. Mumbai |
333. |
Insurance works on the principle of |
A. | Sharing of losses |
B. | Probabilities |
C. | Large numbers |
D. | All of the Above |
Answer» D. All of the Above |
334. |
The principle of _______ensures that an insured does not profit by insuring with multipleinsurers. |
A. | Subrogation |
B. | Contribution |
C. | Indemnity |
D. | All of the Above |
Answer» B. Contribution |
335. |
Insurance is meant to |
A. | Prevent specified events |
B. | Prevent damage to assets from specified events |
C. | Compensate for losses from specified events |
D. | Rebuild the assets lost because of specified events |
Answer» C. Compensate for losses from specified events |
336. |
Insurance compensate losses |
A. | By replacing the original asset |
B. | To the full extent of lost income |
C. | Only to the extent of insured amount |
D. | All the above |
Answer» C. Only to the extent of insured amount |
337. |
Insurance is necessary because |
A. | Assets depreciate over time and through usage |
B. | Assets may be damaged by external causes |
C. | Assets require regular maintenance |
D. | None of the above |
Answer» B. Assets may be damaged by external causes |
338. |
Insurance works on the principle of |
A. | Sharing |
B. | Probabilities |
C. | Large numbers |
D. | All the above |
Answer» D. All the above |
339. |
Insurance works on the principle of |
A. | Trust |
B. | Sharing |
C. | Randomness |
D. | All the above |
Answer» D. All the above |
340. |
The amount of insurance depends on |
A. | Peril |
B. | The risk |
C. | Neither the peril nor the risk |
D. | Both the peril and the risk |
Answer» D. Both the peril and the risk |
341. |
Insurance benefits replace |
A. | All physical losses in full |
B. | All physical losses partially |
C. | The monetary losses in full |
D. | The monetary losses, but only to some extent. |
Answer» D. The monetary losses, but only to some extent. |
342. |
A human being |
A. | Is an economic asset |
B. | Is an income earning asset |
C. | Is a perishable asset |
D. | All the above |
Answer» D. All the above |
343. |
_________ is a contract between two insures i.e. original insurer and another insurer. |
A. | Insurance |
B. | Reinsurance |
C. | Policy |
D. | Premium |
Answer» B. Reinsurance |
344. |
The spreading of losses incurred by the few over the entire group is called |
A. | pooling |
B. | pulling |
C. | contribution |
D. | joining |
Answer» A. pooling |
345. |
Freight insurance is under |
A. | life insurance |
B. | marine insurance |
C. | fire insurance |
D. | other miscellaneous |
Answer» B. marine insurance |
346. |
Insurance principle does not include |
A. | principle of indemnity |
B. | principle of utmost good faith |
C. | principle of knowledge |
D. | principle of subrogation |
Answer» C. principle of knowledge |
347. |
The term „Risk‟ includes: |
A. | Damage to machinery and property |
B. | Impact on the health or life of a person |
C. | Leakage of toxic products into the atmosphere |
D. | all the above |
Answer» D. all the above |
348. |
________ means the transfer of all the rights and remedies available to the insured in respect of the subject matter to the insurer after indemnity has been effected. |
A. | Subrogation |
B. | Indemnity |
C. | Contribution |
D. | none |
Answer» A. Subrogation |
349. |
The IRDA stands for |
A. | . Insurance Regulatory and Development Activity. |
B. | . Insurance Reconstruction and Development Activity. |
C. | . Insurance Regulatory and Development Authority. |
D. | . Insurance Regulatory and Department Activity. |
Answer» C. . Insurance Regulatory and Development Authority. |
350. |
Virtual banking is also called |
A. | Internet Banking |
B. | Home banking |
C. | Mobile banking |
D. | None of these |
Answer» A. Internet Banking |
351. |
Role and importance of insurance includes: |
A. | Insurance provides security and safety |
B. | Re-adjustments needs |
C. | Key Man Indemnification |
D. | All of the above |
Answer» D. All of the above |
352. |
The valid contract, according to Section 10 of Indian Contract Act 1872, must have the following essentialities |
A. | Agreement |
B. | Legal consideration |
C. | Legal object |
D. | All of the above |
Answer» D. All of the above |
353. |
For regulation and development of the insurance sector of the country the Government has formed: |
A. | SEBI |
B. | Reserve Bank of India |
C. | Insurance Regulatory and development Authority |
D. | General Insurance Corporation. |
Answer» C. Insurance Regulatory and development Authority |
354. |
When was Life Insurance sector nationalised? |
A. | 1947 |
B. | 1951 |
C. | 1956 |
D. | 1959 |
Answer» C. 1956 |
355. |
When was Oriental Life Insurance Company established? |
A. | 1818 |
B. | 1821 |
C. | 1833 |
D. | 1815 |
Answer» A. 1818 |
356. |
The term „ Risk‟ includes: |
A. | Damage to machinery and property |
B. | Impact on the health of life of a person |
C. | Leakage of toxic products in the atmosphere |
D. | All of the above |
Answer» D. All of the above |
357. |
IRDA was constituted by which of the following committee‟s recommendations |
A. | Singh Committee |
B. | Malhotra Committee |
C. | Sahota Committee |
D. | None of these |
Answer» B. Malhotra Committee |
358. |
The following are the types of life insurance products: |
A. | Term Insurance |
B. | Whole life Insurance |
C. | Endowment policy |
D. | All of the Above |
Answer» D. All of the Above |
359. |
Insurance which provides cover for losses or damages that could occur to goods in transit on sea, rail, road or air is known as |
A. | Cargo Insurance |
B. | Hull Insurance |
C. | Rail Insurance |
D. | Marine Insurance |
Answer» A. Cargo Insurance |
360. |
An insurance which is concern with the carrier of goods |
A. | Cargo Insurance |
B. | Hull Insurance |
C. | Road Insurance |
D. | Marine Insurance |
Answer» B. Hull Insurance |
361. |
For the purpose of insurance, motor vehicle are classified into ___Categories |
A. | Two |
B. | Three |
C. | Four |
D. | Five |
Answer» B. Three |
362. |
Third party claims are covered under Section ____ of the Motor Vehicle Act, which empowers the State Government to set up a Tribunal to adjudicate on the third party claims |
A. | Sec 165 |
B. | Sec 175 |
C. | Sec 185 |
D. | Sec 187 |
Answer» A. Sec 165 |
363. |
Which one is not feature of the contract of fire Insurance? |
A. | It is personal in nature |
B. | Cause of fire is immaterial |
C. | Covers losses as a whole |
D. | None of the Above |
Answer» D. None of the Above |
364. |
Life Insurance Corporation (LIC) of India is a |
A. | Public sector company |
B. | Private sector company |
C. | Partnership Company |
D. | Joint venture |
Answer» A. Public sector company |
365. |
The policy which cover against bodily injury resulting in death or disablement arising from an accident that has been caused by external violent and visible means is: |
A. | Personal accident insurance |
B. | Burglary Insurance |
C. | Burglary and house breaking insurance |
D. | None of the above |
Answer» A. Personal accident insurance |
366. |
As per the Insurance Act, every insurance has to prepare at the end of financial year? |
A. | Balance sheet |
B. | P/L account |
C. | Revenue A/c for each class of Insurance business |
D. | All of these |
Answer» D. All of these |
367. |
Freight insurance is under |
A. | Life insurance |
B. | Marine |
C. | Fire |
D. | Motor |
Answer» B. Marine |
368. |
The minimum sum insured under Fire insurance is |
A. | Rs. 1 crore |
B. | Rs. 2 crore |
C. | Rs. 3 crore |
D. | Rs. 4 crore |
Answer» A. Rs. 1 crore |
369. |
General Insurance does not include: |
A. | Travel Insurance |
B. | Health Insurance |
C. | Home insurance |
D. | None of the above |
Answer» D. None of the above |
370. |
Life Insurance underwriting is mainly concerned with |
A. | Age |
B. | Health history |
C. | Mortality |
D. | Marital status |
Answer» C. Mortality |
371. |
____________caters specifically to the transportation of goods or merchandise packed or in bulk and shipped either by sea, air or land. |
A. | Hull insurance |
B. | Cargo insurance |
C. | Liability insurance |
D. | Business insurance |
Answer» B. Cargo insurance |
372. |
Motor insurance provides insurance cover to |
A. | Private vehicles |
B. | Commercial Vehicles |
C. | Motor cycles |
D. | All of these |
Answer» D. All of these |
373. |
In insurance the risk is |
A. | certain |
B. | uncertain |
C. | Both a and b |
D. | None |
Answer» B. uncertain |
374. |
Which one of the following statements is correct? |
A. | A life insurance policy is a contract, enforceable in a court of law |
B. | A life insurance policy is not required to be stamped |
C. | Both the statements are correct |
D. | Both the statements are wrong |
Answer» A. A life insurance policy is a contract, enforceable in a court of law |
375. |
Which one of the following statements is correct? |
A. | The principle of utmost good faith applies only to life insurance |
B. | The principle of utmost good faith applies only to non-medical cases |
C. | The principal of utmost good faith is operative only for two years |
D. | All the above statements are incorrect |
Answer» D. All the above statements are incorrect |
376. |
The principle of utmost good faith is meant to protect the interest of |
A. | The insurer |
B. | The community of policyholders |
C. | The shareholders |
D. | None of the above |
Answer» B. The community of policyholders |
377. |
The principle of utmost good faith is important to ensure |
A. | That the premium charged is correct |
B. | That no one gets an undue advantage |
C. | That there is no adverse selection |
D. | All the three factors mentioned above |
Answer» D. All the three factors mentioned above |
378. |
Which of the following risks are insurable? |
A. | Speculative |
B. | Economic |
C. | Sure to happen |
D. | All the above |
Answer» B. Economic |
379. |
Insurable interest is |
A. | Defined in the Insurance Act |
B. | Defined in the Contract Act |
C. | Defined by IRDA |
D. | Not defined in any written law |
Answer» D. Not defined in any written law |
380. |
In case of life insurance, insurable interest should exist |
A. | At the inception of policy |
B. | At the time of claim |
C. | At the time of every renewal of premium payment |
D. | All the above occasions |
Answer» A. At the inception of policy |
381. |
In the case of life insurance, the principle of insurable interest operates |
A. | In the same way as in marine insurance |
B. | In the same way as fire insurance |
C. | In the same way as in motor insurance |
D. | Differently than in other forms of insurances. |
Answer» D. Differently than in other forms of insurances. |
382. |
The term 'Assurance' refers to ___________ |
A. | Life Insurance business |
B. | Fire insurance business |
C. | Motor Vehicle insurance |
D. | Marine insurance |
Answer» A. Life Insurance business |
383. |
The central office of LIC of India is located at ________ |
A. | Mumbai |
B. | New Delhi |
C. | Bangalore |
D. | Chennai |
Answer» A. Mumbai |
384. |
Under ________ insurance, loss of profit policy is called as consequential loss policy |
A. | Marine |
B. | Property |
C. | Fire |
D. | Life |
Answer» C. Fire |
385. |
Health insurance can be availed by people aged between ______ and ______ |
A. | 10 and 100 |
B. | 7 and 75 |
C. | 5 and 75 |
D. | 10 and 70 |
Answer» C. 5 and 75 |
386. |
________ was the first Indian Insurance Company |
A. | Bombay Mutual Assurance Society Ltd. |
B. | Bombay Insurance Society Ltd. |
C. | Insurance Regulatory Development Authority |
D. | General Insurance Corporation |
Answer» A. Bombay Mutual Assurance Society Ltd. |
387. |
Which of the following insurance contract is not based on the principle of indemnity. |
A. | Fire insurance |
B. | Marine insurance |
C. | Life insurance |
D. | All |
Answer» C. Life insurance |
388. |
Marine insurance may cover loss or damage to the ________ |
A. | Ship |
B. | Cargo |
C. | Any other subject of Marine adventure |
D. | All of these |
Answer» D. All of these |
389. |
When a banker collects cheques, dividend warrants, bills or other services on behalf of the customer, the banker the banker acts as an__________ |
A. | Principal |
B. | Agent |
C. | Bailor |
D. | Bailee |
Answer» B. Agent |
390. |
Motor insurance provides insurance cover to |
A. | Private Vehicles |
B. | Commercial Vehicles |
C. | Motorcycles |
D. | All of these |
Answer» D. All of these |
391. |
Marine insurance may cover loss or damage to the |
A. | Ship |
B. | Cargo |
C. | Any other subject of Marine adventure |
D. | All of these |
Answer» D. All of these |
392. |
Hull insurance is a type of |
A. | Motor insurance |
B. | Fire insurance |
C. | Marine insurance |
D. | Miscellaneous insurance |
Answer» C. Marine insurance |
393. |
Freight insurance is under |
A. | Life insurance |
B. | Marine insurance |
C. | Fire insurance |
D. | Other miscellaneous insurance |
Answer» B. Marine insurance |
394. |
A marine insurance is a contract of |
A. | Increment |
B. | Indemnity |
C. | Maturity |
D. | None |
Answer» B. Indemnity |
395. |
Fire insurance came into existence after the Great Fire of London in |
A. | 1666 |
B. | 1866 |
C. | 1686 |
D. | 1687 |
Answer» A. 1666 |
396. |
Property insurance may not include |
A. | Burglary |
B. | Fidelity |
C. | Insolvency |
D. | Sickness |
Answer» D. Sickness |
397. |
Crop insurance covers the risks of |
A. | Natural fire |
B. | Storm |
C. | Drought |
D. | All of these |
Answer» D. All of these |
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