IC11 Mock Test Sample 16
These questions cover key concepts of general insurance including premium calculation (usually on advance basis), marine cargo clauses (Institute Cargo Clauses A, B, C), and ALOP meaning Advance Loss of Profits. GIC acts as the national reinsurer, and insurers inform IRDAI about reinsurance programs. Fire insurance for homes is classified as simple risk, and policies become enforceable when stamped. Cyber liability excludes deliberate malicious acts by the insured. Subrogation, underwriting returns, and proportional claim sharing are important principles. Marine cum erection starts from manufacturer dispatch. PA policy sum insured is linked to income. ILU stands for Institute of London Underwriters, a key marine insurance body.
Q1. The annual premiums are calculated on the basis that they are received in ______.
a) Premium
b) Prepaid
c) Advance
d) Arrears
Q2. The cargo clause comes under the category of ______.
a) Sec A B C
b) Sec 1
c) Sec 3
d) Sec B D S
Q3. The full form of ALOP is ______.
a) Advance loss of property
b) Advance loss of penalty
c) Advance loss of policy
d) Advance loss of profits
Q4. The General Insurance Corporation is also commonly known as ______.
a) Government Re-insurer
b) Trusted reinsurer
c) Reinsurer
d) National reinsurer
Q5. The Premium Register copy is must for ______.
a) Underwriting bank statements
b) Underwriting loans
c) Underwriting returns
d) Underwriting balance sheet
Q6. The renewal receipt can also be issued by ______.
a) Specifying the discount in premium
b) Acknowledging receipt of renewal premium
c) Specifying the term of further insurance
d) Analysis of the clause of insurance
Q7. To what extent are the reimbursement expenses for a damaged private car's protection limited?
a) Rs 1000
b) Rs 1500
c) Rs 2000
d) Rs 2200
Q8. To whom will all the insurers in India inform while devising their re-insurance programme every year?
a) RBI
b) GIC
c) LIC
d) IRDAI
Q9. Traders can suffer losses by reason of insolvency or default in payment on the part of ______.
a) Sellers
b) Vendors
c) Consumers
d) Buyers
Q10. What will be an appropriate sum insured for death cover under PA policy?
a) 3 years income
b) 5 years income
c) 7.5 years income
d) Annual income
Q11. Which authority can intervene in the affairs of an insurer?
a) Any legal regulatory body
b) IRDAI
c) Central Government
d) Policy holder
Q12. Which of these terms refer to 'Partially Damaged Property'?
a) Claim
b) Risk
c) Damage
d) Salvage
Q13. Fire insurance for residential properties is classified as ______.
a) Storage risk
b) Manufacturing risk
c) Simple risk
d) Hazardous risk
Q14. When does an insurance policy become legally enforceable?
a) When accepted by policy holder
b) When delivered to policy holder
c) When recorded in policy register
d) When stamped
Q15. When Money Transit Insurance is renewed, the premium is calculated on the basis of ______.
a) Only money
b) Money in transit
c) Actual money in transit
d) Contract basis
Q16. Which of the following cannot be insured under Cyber Liabilities?
a) Loss due to system inaccessibility
b) Loss due to hacking
c) Liability for spreading virus
d) Deliberate malicious acts by insured
Q17. ______ policies provide cover against loss of profits due to machinery breakdown.
a) Marine insurance
b) Fire insurance
c) Engineering insurance
d) Burglary insurance
Q18. A businessman has policies A (₹8,00,000), B (₹10,00,000), C (₹2,00,000). Loss = ₹2,00,000. Claim under Policy A?
a) Rs 200000
b) Rs 100000
c) Rs 80000
d) Rs 65000
Q19. From the time the machinery leaves the ______, Marine cum Erection insurance starts.
a) Forehead
b) Supervisors
c) Factory inspectors
d) Manufacturer
Q20. ILU stands for ______.
a) Institute of London Universities
b) Institute of London Underwriters
c) Institute of London Undertakers
d) Institute of London UNICEF
