IC02 Mock Test Sample 11
These questions focus on core life insurance concepts such as policy structure, annuities, ULIPs, loans, and legal provisions. They cover important elements of policy documents like the preamble and operative clause, and concepts like vesting, annuitization, and life annuity. Regulatory aspects such as Section 41 (rebate prohibition) and Section 39 (nomination) of the Insurance Act are included. Practical calculations like premium, paid-up value, and age determination are also tested. Topics like EDLI, mortality tables, and gratuity eligibility highlight employee benefits. The set also emphasizes claim types, MWP Act provisions, and product features, helping build strong conceptual clarity for insurance exams and real-world application.
1. Which part of the policy document makes the proposal and declaration signed by the policyholder part of the contract?
a) Schedule
b) Conditions
c) Operative Clause
d) Preamble
2. A person invested in life annuity and paid a one time premium. The insurance company shall pay periodic payments after some years. This process is called:
a) Commuting
b) Annuitize
c) Vesting
d) Moneyback
3. ULIP's are market-linked insurance plans and combine the features of:
a) Investment and protection
b) Annuity and protection
c) Annuity and savings
d) Investment and savings
4. The loan amount granted against a life insurance policy is generally ______ of its surrender value:
a) 50%
b) 60%
c) 70%
d) 90%
5. Which of the following term does not match the other four?
a) Early claims
b) Non Early claims
c) Claimant’s statement
d) Deed of assignment
6. How many years should an Insurance Agent work to become eligible for Gratuity?
a) Minimum 10 Years
b) Minimum 20 Years
c) 15 Years or more continuously
d) Till agent becomes 60
7. Which claim needs submission of proof of death?
a) Maturity Claim
b) Survival Benefit Claim
c) Death Claim
d) None of the above
8. If tabular premium is Rs 55.60, calculate half-yearly premium (SA Rs 3 lakhs with extra Rs 1.60):
a) Rs 8500
b) Rs 8580
c) Rs 8470
d) Rs 8690
9. Expanded form of EDLI:
a) Employers Dividend Liability Insurance
b) Employees Deposit Liability Insurance
c) Employees Deposit Linked Insurance
d) Employees Dividend Linked Insurance
10. Which type of annuity guarantees payment for life?
a) Commutation of annuity
b) Annuity for fixed period
c) Life Annuity
d) Fixed Annuity
11. As per Insurance Act 1938, agents cannot offer rebates under:
a) Section 41
b) Section 42
c) Section 43
d) Section 44
12. Find the odd one out:
a) Early claims
b) Non early claims
c) Deed of assignment
d) Foreclosure
13. The term 'ab initio' means:
a) Let’s begin
b) From the beginning
c) In the end
d) At the end
14. Nomination is covered under section:
a) 39
b) 40
c) 41
d) 42
15. As per Payment of Gratuity Act 1972, companies with more than ______ employees must provide gratuity:
a) 5
b) 10
c) 15
d) 25
16. Which document gives details of plans, benefits, terms and riders?
a) Preamble
b) Policy document
c) Prospectus
d) Proposal form
17. Calculate Paid Up Value (SA Rs 1 lakh, 20 years, paid ~5.5 years):
a) Rs 27,500
b) Rs 30,000
c) Rs 32,500
d) Rs 60,000
18. DOB: 10 Oct 1976, DOC: 11 Aug 2010 (Age last birthday):
a) 33 years
b) 33 years 3 months
c) 32 years 10 months
d) 34 years
19. Under MWP Act, distribution will be:
a) Entire to Son
b) Children cannot be beneficiaries
c) Entire to Daughter
d) Son gets 1/3rd, Daughter’s legal heirs get 2/3rd
20. What do mortality tables contain?
a) Number of deaths at different ages
b) Underwriter calculations
c) Number of births
d) Percentage death rate by age group
