Insurance Management Set 3
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This set of Insurance Management Multiple Choice Questions & Answers (MCQs) focuses on Insurance Management Set 3
Q1 | Find out which of the given statements is incorrect
- Accounts department has to monitor cash flow from subordinate offices
- Marketing department has to monitor business inflow
- Marketing department has to monitor performance of agents
- Actuarial department is responsible for settling death claims
Q2 | Which of the following terms is dissimilar to the other four in the context ofdeath claims in life insurance?
- Early claims
- Non-early claims
- Foreclosure
- Claimant’s statement
Q3 | As per structured formula under the Motor Vehicle Act, victims of fatalinjuries are paid compensation on the basis of:
- Age and sex
- Age and number of dependents
- Income and size of family
- Age and income
Q4 | Time Policies relate to:
- Fire insurance
- Hull insurance
- Personal Accident insurance
- Workmen’s Compensation insurance
Q5 | Which clause specifies the perils insured in a scheduled form of policy?
- Preamble Clause
- Recital Clause
- Operative Clause
- Consideration Clause
Q6 | Which of the following types of insurances is mandatory?
- Motor Own Damage
- Motor Third Party Legal Liability
- Personal Accident Insurance
- Product Liability
Q7 | The minimum paid up capital required for a General Insurance Company isRs. ____
- 25 crores
- 50 crores
- 75 crores
- 100 crores
Q8 | In ‘Hit and Run’ cases, claims are settled from _______
- Solatium Fund
- IRDA’s contingency Fund
- Insuring Company’s reserves
- Motor Third Party Pool
Q9 | Select the expanded form of FPA as used in insurance
- Freight Payable Assured
- Free of Particular Average
- Fire Perils Added
- Fixed Peripherals Added
Q10 | Select the expanded form of ALOP used in insurance
- Advance Loss of Profits insurance
- Agreed Loss of Profits insurance
- Additional Loss of Profits insurance
- Associated Loss of Profits insurance
Q11 | Insurance cannot prevent the occurrence of risk but it provides for the………
- losses of risk
- occurrence of risk
- chance of risk
- none of these
Q12 | The document which embodies the contract in insurance is called…………
- security
- policy
- certificate
- none of these
Q13 | ……… principle in insurance means maximum truth.
- subrogation
- causa proxima
- insurable interest
- uberrima fides
Q14 | Which of the following terms matches closest with ‘Composite Policy’?
- Shopkeepers’ insurance
- Janatha Personal Accident insurance
- Critical Care Health insurance
- Marine Cargo insurance
Q15 | Members of the Insurance Advisory Committee are drawn to represent theinterests of different groups like:
- Surveyors, agents, advocates
- Commerce, transport,
- Consumer fora, industry, intermediaries,
- Research bodies, organisations engaged in safety and loss prevention
Q16 | Which of the following covers is dissimilar to the other four options?
- Loss of Passport
- Loss of Profits
- Loss of checked in baggage
- Delay in receiving checked in baggage
Q17 | Which of the following types of insurances is dissimilar to the other fouroptions?
- Builders’ Risks insurance
- Hut insurance
- Crop insurance
- Livestock insurance
Q18 | Which of the following terms matches closest with ‘Asbestosis’?
- Products
- Pension
- Rough Weather
- Workmen’s Compensation
Q19 | Regarding ‘Exclusions’ find out the incorrect statement.
- Exclusions are indicated in the policy
- Exclusions are perils or circumstances not covered
- Exclusions limit the coverage under the policy
- Exclusions do not deal with risk coverage
Q20 | Which of the following statements is incorrect in respect of brokers?
- Brokers require to undergo training before being licensed
- Brokers are appointed by insured to take care of their interests
- Brokers have to pass examinations before being licensed
- Brokers should be registered companies or firms
Q21 | Which of the following terms is dissimilar to the other four options?
- Jettison
- Hit and Run
- Sue and Labour
- Salvage
Q22 | Which of the following terms is dissimilar to the other four options?
- Post-hospitalisation expenses
- Expenses on treatment of pre-existing diseases
- Reinstatement value
- Funeral expenses
Q23 | Principle of utmost good faith is also known as ………..
- subrogation
- causa proxima
- insurable interest
- uberrima fides
Q24 | …………….principle means that the insured is not entitled to make a profiton his loss.
- subrogation
- causa proxima
- indemnity
- uberrima fides
Q25 | The purpose of ………. Are to hold the negligent person responsible for theloss and prevent the insured from collecting twice for the same loss.
- subrogation
- causa proxima
- indemnity
- uberrima fides