IC01 (LICENTIATE) Principles of Insurance - 05
| Q 1.The agreements between insurers and reinsurers are known as ____. |
| Pool arrangements |
| Excess of loss arrangements |
| Quota shares |
| Treaties |
| Hedging |
| Q2.In life insurance, the premium paid at the commencement of policy is referred to as ____ premium and the subsequent premiums that are paid are called the ____ premium. |
| Commencement, Later |
| Renewal, First |
| Single, Subsequent |
| First, Renewal |
| Mode of payment, limited payment |
| Q3.Which body is not a work of the Insurance Act 1938? |
| Life insurance council |
| Tariff advisory committee |
| General insurance council |
| Insurance association |
| Consumer protection act |
| Q4.If the policyholder has had a claim and it exceeds a specified limit, the premium is increased. This increase or loading on the premium is called __ |
| No Claim Bonus |
| Deductible |
| Floater |
| New contract |
| Malus |
| Q5.Which of these policies is/are freely assignable? |
| Marine Cargo policies |
| Marine Hull policies |
| Floater policies |
| Valued policies |
| All of the above |
| Q6.What is the role of a TPA? |
| To get new business for the insurer |
| To scrutinize the proposal forms |
| To settle medical and hospital expenses on behalf of the insurer |
| To calculate the premium |
| To issue the policy documents |
| Q7.Risk management as a subject of study evolved formally _____. |
| as a function of debt collectors |
| as a function of financial lending |
| as a function of business enterprise. |
| as a function of investment organization |
| All of the above |
| Q8.Insurance cannot compensate for __. |
| Losses due to act of God |
| Non-Economic losses |
| Economic losses |
| Financial losses |
| All of the above |
| Q9.The consideration which the proposer pays to the insurance company for bearing the risk on his behalf is known as ____. |
| Policy fees |
| Premium |
| Bonus |
| Installment |
| Enrollment fee |
| Q10.Which risks cannot be measured in monetary terms? |
| Dynamic Risks |
| Speculative Risks |
| Financial Risks |
| Non-Financial Risks |
| Stock Market Risks |