IPL 2

Question No 1
Q. In the case of life insurance, the duty _____ with the completion of the contract. Choose one answer. A. Starts B. Ends C. Transfer D. Endorses

Answer
B. Ends

Question 2
Q. Cognitive Dissonance means. Choose one answer. A. Disturbance in body B. Disturbance in mind C. Disturbance in body parts D. Disturbance in routine E. Disturbance in business

Answer
B. Disturbance in mind

Question No 3
Q. Which technique aims to eliminate or reduce firms losses Choose one answer. A. Loss prevention B. Loss control C. Loss cured D. Loss saved

Answer
A. Loss prevention

Question No 4
Q. The insurer, being a legally constituted company or corporation , is competent to contract for insurance only if has got the ________ to transact businessChoose one answer. A. License, B. Consent, C. Permission

Answer
A. License

Question No 5
Q. The simplest way to handle a risk is to ________ it all together Choose one answer. A. Pass, B. Avoid, C. Insure, D. Delay

Answer
B. Avoid

Question No 6
Q. The ways to manage a risk are Choose one answer. A. Avoidance or prevention B. Reduction C. Retention D. Transfer E. All above

Answer
E. All above

Question No 7
Q. A contract under which the insurer agrees to pay in the event of total loss without the usual allowance for depreciation or appreciation is called an Choose one answer. A. Agreed value policy B. Floater policy C. Family Policy D. Valuation Policy

Answer
A. Agreed value policy

Question No 8
Q. Which principles support the principle of indemnity in its objectives of preventing the insured from recovering more than his loss under an insurance policy Choose one answer. A. subrogation and contribution B. proximate cause C. utmost good faith D. indemnity

Answer
A. subrogation and contribution

Question No 9
Q. The duty of disclosure of material facts is on the ____ also as much as it is on the policyholder Choose one answer. A. Insurer B. Co-insurer C. Reinsurer D. Agent

Answer
D. Agent

Question No 10
Q. The License is issued separately for Life and Non-life AgentsChoose one answer. A. True B. False

Answer
A. True

Question No 11
Q. Which is the first step of risk management? Choose one answer. A. Risk evaluation B. Risk identification C. Risk control D. Risk perception

Answer
B. Risk identification

Question No 12
Q. Premium amount, in case of motor insurance depends onChoose one answer. A. Specification of the vehicle B. Usage of the vehicle C. Depreciation of the vehicle D. All of the above

Answer
D. All of the above

Question No 13
Q. Insurers have insurable interest in the subject matters, which ____ have insured Choose one answer. A. They B. Their parents C. Their guardians D. Their children

Answer
A. They

Question No 14
Q. Together with banking services, insurance services add about Choose one answer. A. 7% to countrys GDP B. 7% to countrys GNP C. 10% to countrys GDP D. 10% to countrys total income

Answer
A. 7% to countrys GDP

Question No 15
Q. The transaction of general insurance business in India is basically governed by Choose one answer. A. Insurance Act- 1938 B. IRDA Act, 1999. C. Both above D. Only B above

Answer
C. Both above

Question No 16
Q. Which insurance business in India can be done by both life and non-life companies on the basis of mutual tie-up. Choose one answer. A. Micro insurance B. Small insurance C. Social insurance D. Welfare insurance

Answer
A. Micro insurance

Question No 17
Q. Term assurances, by themselves, are not very popular, as there is no _________ Choose one answer. A. saving content B. Benefit content C. Claim Content D. Necessity content

Question No 18
Q. If the life assured dies before payment of balance surrender value the amount would be payable to Choose one answer. A. Nominee B. Fore cited C. Legal heirs D. Representative