McqMate
| 101. |
Which one of the following statement is correct? |
| A. | Group insurance covers a large number of persons in the policy |
| B. | Group insurance is relatively cheaper than individual insurances |
| C. | Both the statements above are correct |
| D. | Both statements above are wrong |
| Answer» C. Both the statements above are correct | |
| 102. |
Which one of the following statement is correct? |
| A. | A master policy is issued in a group insurance policy. |
| B. | Each member in a group policy pays the premium directly to the insurer |
| C. | Both statements above are correct |
| D. | Both the statements above are wrong |
| Answer» B. Each member in a group policy pays the premium directly to the insurer | |
| 103. |
Which one of the following is true for a group policy? |
| A. | Copies of the master policy are given to all members by the insurer. |
| B. | The group has to be formed exclusively for the purpose of insurance |
| C. | Entry into the scheme and exit out of it, is at the option of the members. |
| D. | The amount of the cover is determined by the scheme |
| Answer» D. The amount of the cover is determined by the scheme | |
| 104. |
State which one of the following statement is correct? |
| A. | A trade union can take out a group insurance policy |
| B. | The cover for an employee can be equal to his age multiplied by a fixed number |
| C. | Both the statements above are correct |
| D. | Both the statements above are wrong |
| Answer» C. Both the statements above are correct | |
| 105. |
One of the fundamental principles of life insurance is ______ |
| A. | there is an insurer and policy holder |
| B. | utmost good faith |
| C. | insurable interest |
| D. | Both (b) and (c |
| Answer» D. Both (b) and (c | |
| 106. |
Facts which need to be disclosed is ____ |
| A. | facts of common knowledge |
| B. | facts which lessen the risks |
| C. | facts which every one is supposed to know in general |
| D. | family history |
| Answer» D. family history | |
| 107. |
Guarantees for employer for the loss out of employee's dishonest is_____________. |
| A. | burglary insurance. |
| B. | fidelity insurance. |
| C. | third party insurance. |
| D. | medical insurance. |
| Answer» B. fidelity insurance. | |
| 108. |
This policy covers all risks to the ship and its cargo while the ship is at a particular port ___________. |
| A. | Voyage policy. |
| B. | floating policy. |
| C. | time policy. |
| D. | port risk policy. |
| Answer» D. port risk policy. | |
| 109. |
Fire insurance can be taken in respect of_____. |
| A. | movable property only. |
| B. | immovable property only. |
| C. | both movable and immovable properties. |
| D. | persons only. |
| Answer» C. both movable and immovable properties. | |
| 110. |
The principle of indemnity is applicable to _______ only. |
| A. | life insurance. |
| B. | personal accident insurance. |
| C. | proximate cause. |
| D. | property insurance. |
| Answer» D. property insurance. | |
| 111. |
Except life assurance the maximum term of other insurance is _________ |
| A. | 12 months. |
| B. | 24 months. |
| C. | 6 months. |
| D. | 36 months. |
| Answer» A. 12 months. | |
| 112. |
The person whose risk is insured is called __________ |
| A. | Insured. |
| B. | Assured. |
| C. | Indemnity. |
| D. | Both 1 and 2. |
| Answer» D. Both 1 and 2. | |
| 113. |
The person who agrees to compensate the loss arising from the risk is called the _____ |
| A. | Insurer. |
| B. | Assurer. |
| C. | Underwriter. |
| D. | All the above |
| Answer» D. All the above | |
| 114. |
_______ policy in which the limits of the risks are determined by place of particular voyage. |
| A. | Valued. |
| B. | Time. |
| C. | Voyage . |
| D. | Unvalued. |
| Answer» C. Voyage . | |
| 115. |
_______ policy is which covers the risk during all situations. |
| A. | Floating . |
| B. | Wagering. |
| C. | Valu |
| D. | Mixed |
| Answer» D. Mixed | |
| 116. |
The term ‘run off’ or ‘fully declared’ refers to ___________ |
| A. | Floating policy. |
| B. | Wagering policy. |
| C. | Builders risk policy. |
| D. | Open cover policy. |
| Answer» A. Floating policy. | |
| 117. |
Wagering policy is otherwise termed as _________ |
| A. | Policy proof of interest. |
| B. | Open policy. |
| C. | Builders risk policy. |
| D. | Port risk policies. |
| Answer» A. Policy proof of interest. | |
| 118. |
Risk insured against death is a contract of ________ |
| A. | assurance. |
| B. | agreement. |
| C. | indemnity. |
| D. | caveat emptor. |
| Answer» A. assurance. | |
| 119. |
The term ‘Assurance’ refers to ________ |
| A. | Life Insurance Business. |
| B. | Marine Insurance Business. |
| C. | Fire Insurance Business. |
| D. | Motor Vehicle Business. |
| Answer» A. Life Insurance Business. | |
| 120. |
The proportion of the risk which the direct insurer holds on his own account refers to ___________ |
| A. | Line. |
| B. | Retention. |
| C. | Retrocession. |
| D. | Ceding insurer. |
| Answer» B. Retention. | |
| 121. |
IRDA refers to_________ |
| A. | Insurance Regulatory Development Authority. |
| B. | Indian Regulatory Development Authority. |
| C. | Institute of Regulatory Development Authority. |
| D. | Insurance Regulatory Development Association. |
| Answer» A. Insurance Regulatory Development Authority. | |
| 122. |
An international code of York Antwerp Rules applied to__________ |
| A. | marine losses. |
| B. | losses of fire. |
| C. | losses of crop. |
| D. | losses of human life. |
| Answer» A. marine losses. | |
| 123. |
Cargo ship caught by fire is an example of __________ |
| A. | particular average loss. |
| B. | general average loss. |
| C. | constructive total loss. |
| D. | actual total loss. |
| Answer» B. general average loss. | |
| 124. |
___________ policy is granted only in respect of stock of inventories of the insured under fire insurance business. |
| A. | Floating. |
| B. | Declarations. |
| C. | Replacement. |
| D. | Valued. |
| Answer» B. Declarations. | |
| 125. |
Insurance business is based on ___________ |
| A. | Parkinson’s law. |
| B. | Newton’s law. |
| C. | The theory of probability and law of large numbers. |
| D. | Boyle’s law. |
| Answer» C. The theory of probability and law of large numbers. | |
| 126. |
Duty to minimize loss is incorporated in the policies through _________ |
| A. | warranties. |
| B. | Conditions. |
| C. | clauses. |
| D. | declaratives |
| Answer» B. Conditions. | |
| 127. |
_______ means those risks which involve a situation where there is a possibility of gain. |
| A. | Personal risk. |
| B. | Speculative risk. |
| C. | Other risk. |
| D. | Liability risk. |
| Answer» B. Speculative risk. | |
| 128. |
A policy protecting a group of persons, usually employees of a firm generally called as ___________ |
| A. | Fire insurance policy. |
| B. | Group insurance policy. |
| C. | Marine insurance. |
| D. | Automobile insurance. |
| Answer» B. Group insurance policy. | |
| 129. |
When was IRD Act passed? |
| A. | 1972. |
| B. | 1999. |
| C. | 1989. |
| D. | 2000. |
| Answer» B. 1999. | |
| 130. |
Which of the following is the similarity between insurance and gambling? |
| A. | The amount of loss to be paid is known before hand. |
| B. | Promise to pay on the happening of an event. |
| C. | Both the parties win on happening of an event. |
| D. | Both are enforceable at law. |
| Answer» A. The amount of loss to be paid is known before hand. | |
| 131. |
A human life is an income-generating asset______________ |
| A. | true. |
| B. | false. |
| C. | partially true. |
| D. | partially false. |
| Answer» A. true. | |
| 132. |
Which of the following risks are insurable? |
| A. | Speculative. |
| B. | Economic. |
| C. | Sure to happen. |
| D. | Other risks. |
| Answer» B. Economic. | |
| 133. |
The premium actually paid by the policy holder depends upon___________ |
| A. | the wealth of the person to be insured. |
| B. | the level of risk assessed by the insurer. |
| C. | the tables of rates printed by the insurer. |
| D. | agents report. |
| Answer» B. the level of risk assessed by the insurer. | |
| 134. |
Which one of the following statement 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. | |
| 135. |
Notification of Alteration in Risk is a condition _____________. |
| A. | precedent to liability. |
| B. | subsequent to liability. |
| C. | precedent to the contract. |
| D. | subsequent to the contract. |
| Answer» D. subsequent to the contract. | |
| 136. |
As the age increases risk on the life _______. |
| A. | Increases. |
| B. | Decreases. |
| C. | does not change. |
| D. | Moderate. |
| Answer» A. Increases. | |
| 137. |
If the interest rates in the market are higher, then cost of insurance _________. |
| A. | Increases. |
| B. | moderate. |
| C. | Decreases. |
| D. | no change. |
| Answer» C. Decreases. | |
| 138. |
One who shares the risk under an insurance policy or policies is known as __________. |
| A. | Assurer. |
| B. | Insurer. |
| C. | Co-insurer. |
| D. | Agent. |
| Answer» C. Co-insurer. | |
| 139. |
The concept of bancassurance originated in ___________. |
| A. | France. |
| B. | U.S.A. |
| C. | Engla |
| Answer» A. France. | |
| 140. |
Individuals define risk as____________. |
| A. | deviation from some expected return. |
| B. | a cost of investing. |
| C. | a quantitative measure. |
| D. | “losing money.” |
| Answer» B. a cost of investing. | |
| 141. |
Committee of reforms in insurance sectors during 1993 headed by ________. |
| A. | R.N. Malhotra. |
| B. | S. Narashiman. |
| C. | Manmohan Singh. |
| D. | P.Chidambaram. |
| Answer» A. R.N. Malhotra. | |
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