Which of the following are correct?
A. Alterations can be done by placing a suitable endorsement on the policy
B. For some alterations, cancellation of existing policy and issuance of new policy are resorted to
C. Both the above are wrong
D. None of the three
Select an option to see the answer and solution.
In a Return of Premium plan (ROP), what is the quantum of maturity claim payable?
A. Sum insured
B. Sum insured + bonus
C. Return of premiums
D. Nothing
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The grace period for renewal beyond expiry date of a health insurance policy is
A. 10 days
B. 15 days
C. 30 days
D. 90 days
Select an option to see the answer and solution.
Policy Allocation Charge would be _________ in the initial years.
A. High
B. Low
C. Moderate
D. None of the three
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By helping a client in settlement of a claim, the agent earns _________ of the claimant.
A. Peace
B. Affection
C. Wrath
D. Goodwill
Select an option to see the answer and solution.
What is the set time limit for completing a claim investigation?
A. 1 month
B. 6 months
C. 1 year
D. 2 years
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How is a policy loan different from a commercial loan?
A. There is no legal obligation to repay a policy loan
B. In case of policy loan, there is no need for a credit check
C. Both A & B
D. None of the three
Select an option to see the answer and solution.
Who is the person that arranges for a customer to get the necessary insurance?
A. An agent
B. A retailer
C. A broker
D. An intermediary
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Which of the following statements is incorrect?
A. Term insurance can be taken as a standalone policy
B. Term insurance cannot be taken as a rider
C. Term insurance policies are sold by life insurance companies
D. Term insurance policies provide cover for a fixed period
Select an option to see the answer and solution.
Which of the following is correct?
A. The entire surplus would be distributed to policyholders
B. The entire surplus would be distributed to shareholders
C. A portion of the surplus would be left for distribution to shareholders
D. All of the above
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Which of the following statements is correct?
A. Selling is an art, not a science
B. Selling is a science, not an art
C. Selling is neither an art nor a science
D. Selling is both an art and a science
Select an option to see the answer and solution.
Which of the following statements is incorrect?
A. Consumer disputes involving private insurance companies can be heard by consumer forum or commission
B. Life insurance does not come under Consumer Protection Act, 1986
C. Complaints can be lodged against private insurers as well as public sector companies/corporations like LIC
D. Complaints can be lodged only against life insurance as well as non-life insurance companies
Select an option to see the answer and solution.
An insurance contract has to fulfill the requirements of the
A. Insurance Act, 1938
B. IRDA Act, 1999
C. LIC Act, 1956
D. Indian Contract Act, 1872
Select an option to see the answer and solution.
Term insurance is mainly suitable for which of the following needs?
A. Tax planning
B. Savings
C. Disease
D. Income replacement
Select an option to see the answer and solution.
Which of the following is incorrect?
A. Financial planning is for wealthy individuals only
B. A disciplined approach and dedicated savings are necessary
C. An unplanned impulsive approach could spell financial distress
D. An investment should suit one's risk appetite
Select an option to see the answer and solution.
In case of ULIPs, which of the following statements is correct?
A. Entire premium is invested in units
B. Premium less charges are invested
C. Premium less bonuses are invested in units
D. Premium less risk charges are invested
Select an option to see the answer and solution.
As per IRDA norms, which of the following non-traditional saving life insurance products are permitted in India? I. Unit Linked Insurance Plan II. Variable Insurance Plan
A. Only I
B. Only II
C. Both I and II
D. Neither I nor II
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Ajay pays insurance premium for his employees. Which of the following insurance premiums will not be treated deductible as compensation paid to an employee? I. Health insurance with benefits payable to an employee II. Keyman life insurance with benefits payable to Ajay
A. Only I
B. Only II
C. Both I and II
D. Neither I nor II
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Which of the following statements are false? I. Policy decisions in an insurance organization mean decisions relating to issue of specific insurance policies. II. Policy decisions in an insurance organization mean decisions relating to different kind of plans of insurance to be offered to the public.
A. Only I
B. Only II
C. Both I and II
D. Neither I nor II
Select an option to see the answer and solution.
Which of the following statements is correct?
A. There is an Ombudsman for defined territorial limits
B. There is one Ombudsman for each state in India
C. There is only one Chief Ombudsman for the whole country
D. An Ombudsman has no upper financial limit
Select an option to see the answer and solution.