McqMate
These multiple-choice questions (MCQs) are designed to enhance your knowledge and understanding in the following areas: Bachelor of Commerce in Banking and Insurance (B.Com Banking and Insurance) .
| 151. |
__________ means insuring a risk with two or more insurers and the total sum insured also exceeds the actual value of the subject matter. |
| A. | Reinsurance |
| B. | General Insurance |
| C. | Single insurance |
| D. | Double insurance |
| Answer» D. Double insurance | |
| 152. |
_______ involves proportionate sharing of the insurance among more than one insurer. |
| A. | Reinsurance |
| B. | Double Insurance |
| C. | Co-insurance |
| D. | None |
| Answer» C. Co-insurance | |
| 153. |
________ means insuring again. |
| A. | General insurance |
| B. | Reinsurance |
| C. | Coinsurance |
| D. | Double insurance |
| Answer» B. Reinsurance | |
| 154. |
The proportion of the risk which the direct insurer holds on his own account is called _________ |
| A. | Cession |
| B. | Retention |
| C. | Retrocession |
| D. | Line |
| Answer» B. Retention | |
| 155. |
Re-insurer is the insurer who grants a guarantee from the _______ |
| A. | Ceding insurer |
| B. | Direct insurer |
| C. | Underwriter |
| D. | Line |
| Answer» B. Direct insurer | |
| 156. |
From the following which is not a non-proportional form of reinsurance? |
| A. | Excess of loss method |
| B. | Pools method of re insurance |
| C. | Treaty method of reinsurance |
| D. | Quata Method of reinsurance |
| Answer» D. Quata Method of reinsurance | |
| 157. |
When the amount for which a subject matter is insured is more than its actual value, it is called _________ |
| A. | Reinsurance |
| B. | Double insurance |
| C. | Over insurance |
| D. | None |
| Answer» C. Over insurance | |
| 158. |
________ insurance means an alternative to purchasing insurance in a commercial market. |
| A. | External |
| B. | Internal |
| C. | Double |
| D. | Re insurance |
| Answer» B. Internal | |
| 159. |
__________ Insurance is a contract to provide a measure of financial support to farmers in the event of a crop failure due to drought or flood. |
| A. | Cattle |
| B. | Crop |
| C. | Burglary |
| D. | Fire |
| Answer» B. Crop | |
| 160. |
________ 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 | |
| 161. |
An unlooked mishap or an untoward event which is not expected or designed |
| A. | Risk |
| B. | Accident |
| C. | Loss |
| D. | None |
| Answer» B. Accident | |
| 162. |
Property Insurance may not include ___________ |
| A. | Burglary |
| B. | Fidelity |
| C. | Insolvency |
| D. | Sickness |
| Answer» D. Sickness | |
| 163. |
_________ is known as Rashtriya Krishi Bima Yojana |
| A. | Crop insurance |
| B. | Hut Insurance |
| C. | PropertyInsurance |
| D. | None |
| Answer» A. Crop insurance | |
| 164. |
Crop insurance scheme came into existence in India in ________ |
| A. | 1998 |
| B. | 1999 |
| C. | 1997 |
| D. | 2000 |
| Answer» B. 1999 | |
| 165. |
Crop insurance covers the risks of __________ |
| A. | Natural fire |
| B. | Storm |
| C. | Drought |
| D. | Allof these |
| Answer» D. Allof these | |
| 166. |
Public liability Insurance act established in _______ |
| A. | 1990 |
| B. | 1991 |
| C. | 1992 |
| D. | 1993 |
| Answer» B. 1991 | |
| 167. |
From the following which is not a type of Public Liability Risk Insurance |
| A. | Industrial Risk Insurance |
| B. | Industrial All Risk Insurance |
| C. | Non - Industrial Risk Insurance |
| D. | Business premises Insurance |
| Answer» D. Business premises Insurance | |
| 168. |
_____________ Policy issued on the basis of the number of persons assured. |
| A. | Single life |
| B. | Level Premium |
| C. | Annuity |
| D. | Multiple life |
| Answer» D. Multiple life | |
| 169. |
The danger of loss from the unforeseen circumstances in future refers to _________ |
| A. | Perils |
| B. | Hazards |
| C. | Damage |
| D. | Risk |
| Answer» D. Risk | |
| 170. |
_____________ Policy is granted only in respect of stocks of inventories of the insured under fire insurance business. |
| A. | Declaration |
| B. | Floating |
| C. | Replacement |
| D. | Valued |
| Answer» A. Declaration | |
| 171. |
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 | |
| 172. |
__________ provides evidence of insurance to the police and Registration Authorities under Motor Vehicle Act. |
| A. | Endorsement |
| B. | Policy Form |
| C. | Certificate of insurance |
| D. | Cover note |
| Answer» C. Certificate of insurance | |
| 173. |
Policy holders are expected to pay premium on due dates, a period of 15-30 days is allowed as grace to make payment of premium from the due date is _____ |
| A. | Days of grace |
| B. | Days of indemnity |
| C. | both |
| D. | None |
| Answer» A. Days of grace | |
| 174. |
The main cause of loss or damage is _____________ |
| A. | Proximate cause |
| B. | Indirect Loss |
| C. | Consequential loss |
| D. | All of these |
| Answer» A. Proximate cause | |
| 175. |
The cause of a possible loss, such as fire windstorm theft etc. is known as _____ |
| A. | Peril |
| B. | Barratry |
| C. | both |
| D. | None |
| Answer» A. Peril | |
| 176. |
________ is a package policy which provides protection against a number of separate points. |
| A. | Single peril policy |
| B. | Group peril policy |
| C. | Multiperil policy |
| D. | None |
| Answer» C. Multiperil policy | |
| 177. |
________ is the property saved from loss |
| A. | Profit |
| B. | Salvage |
| C. | Stand |
| D. | Jettison |
| Answer» B. Salvage | |
| 178. |
When a company reinsures its liability with another, then it ________ business |
| A. | Cession |
| B. | Cedes |
| C. | Ceding |
| D. | None |
| Answer» B. Cedes | |
| 179. |
The scope of protection provided under the contract of insurance is ______ |
| A. | Condition |
| B. | Coverage |
| C. | Contribution |
| D. | None |
| Answer» B. Coverage | |
| 180. |
Medical expense insurance is also known as ________ |
| A. | Personal insurance |
| B. | Liability insurance |
| C. | Medi claim |
| D. | Fidelity |
| Answer» C. Medi claim | |
| 181. |
The risk of individuals and families are cored under ________ |
| A. | Personal insurance |
| B. | Property insurance |
| C. | Liability insurance |
| D. | All |
| Answer» A. Personal insurance | |
| 182. |
The central office of LIC of India is located at ________ |
| A. | Mumbai |
| B. | New Delhi |
| C. | Bangalore |
| D. | Chennai |
| Answer» A. Mumbai | |
| 183. |
Under ________ insurance, loss of profit policy is called as consequential loss policy |
| A. | Marine |
| B. | Property |
| C. | Fire |
| D. | Life |
| Answer» C. Fire | |
| 184. |
From the following which is not an example of fundamental risk? |
| A. | War |
| B. | Unemployment |
| C. | Inflation |
| D. | Burning of a house |
| Answer» D. Burning of a house | |
| 185. |
________ is also termed as group risk |
| A. | Fundamental risk |
| B. | Static risk |
| C. | Property risk |
| D. | Liability risk |
| Answer» A. Fundamental risk | |
| 186. |
Final accounts of Life Insurance Companies include |
| A. | Revenue account |
| B. | Profit and loss account |
| C. | Receipt and payment account |
| D. | All of these |
| Answer» D. All of these | |
| 187. |
From the following, which is a type of reserve in insurance business |
| A. | Unearned Premium Reserve |
| B. | Un-expired Risk Reserve |
| C. | Outstanding Claims Reserve |
| D. | All of these |
| Answer» D. All of these | |
| 188. |
The current ratio measures the ________ position of an insurance policy |
| A. | Solvency |
| B. | Liquidity |
| C. | Profitability |
| D. | Activity |
| Answer» B. Liquidity | |
| 189. |
________ is also known as all risk policy |
| A. | Comprehensive policy |
| B. | Excess policy |
| C. | Floating policy |
| D. | Adjustable policy |
| Answer» A. Comprehensive policy | |
| 190. |
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 | |
| 191. |
A health insurance should be |
| A. | Affordable |
| B. | Continuous |
| C. | Universal |
| D. | All of those |
| Answer» D. All of those | |
| 192. |
________ is a plan designed for businessmen and professionals as money is available periodically. |
| A. | Jeevan Surabhi |
| B. | Jeevan Saathi |
| C. | Jeevan Kishore |
| D. | Jeevan Sukanya |
| Answer» A. Jeevan Surabhi | |
| 193. |
From the following which is a character of Life Insurance Services |
| A. | Intangibility |
| B. | Heterogeneity |
| C. | Inseparability |
| D. | All of these |
| Answer» D. All of these | |
| 194. |
LIC Housing Finance Ltd. was incorporated on ________ |
| A. | 1984 |
| B. | 1989 |
| C. | 1969 |
| D. | 1993 |
| Answer» B. 1989 | |
| 195. |
An international code of ________ rules applied to Marine losses |
| A. | York Antwerp rule |
| B. | York Antiperil rule |
| C. | Both (a) and (b) |
| D. | None |
| Answer» A. York Antwerp rule | |
| 196. |
New Delhi is the head office of |
| A. | United India Insurance Co. Ltd. |
| B. | Oriental Insurance Co. Ltd. |
| C. | National Insurance Co. L |
| Answer» B. Oriental Insurance Co. Ltd. | |
| 197. |
________ are extra benefits under the policy |
| A. | Riders |
| B. | Loans |
| C. | both (a) and (b) |
| D. | None |
| Answer» A. Riders | |
| 198. |
An insurance policy will be only if ________ is paid |
| A. | Policy |
| B. | Premium |
| C. | Document |
| D. | None |
| Answer» B. Premium | |
| 199. |
Insurable interest must be present in an ________ insurance contract at the time of contract and at the time of loss. |
| A. | Fire |
| B. | Marine |
| C. | Property |
| D. | Life |
| Answer» A. Fire | |
| 200. |
The transit risk caused by fire is covered under ________ policy |
| A. | Excess policy |
| B. | Floating policy |
| C. | All risk policy |
| D. | transit policy |
| Answer» D. transit policy | |
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