IC11 PRACTICE OF GENERAL INSURANCE EXAM - 01
| Q1.A boiler, which was used by a factory to generate steam for captive use, imploded causing damage to it. There was no other loss than this. Will the fire policy indemnify the loss of the boiler? |
| No, as the damage is outside the purview of the fire policy |
| No, damage of boiler from implosion/explosion is not covered |
| Yes, damage of boiler from implosion/explosion is covered |
| No, damage of boiler from implosion/explosion is not covered under a fire policy |
| None of the above |
| Q2.A company insured its property assuming for full value as Rs 10,00,000/=. In an event of a claim, it was realized that the original value of the property was Rs 12,50,000/=. The claim amount was Rs 2,00,000/= Will any claim be paid and if yes, what will be the amount |
| No claim will be paid due to misrepresentation of fact |
| Yes it will be paid, Rs 2,00,000 |
| Yes it will be paid, Rs 40,000 |
| Yes it will be paid, Rs 1,60,000 |
| Yes it will be paid, Rs 1,80,000 |
| Q 3.What is the limit of amount deductible under the 0.6% franchise clause when the sum insured is 1000000? |
| Rs. 1000000 |
| Rs. 26000 |
| Rs. 6000 |
| Rs. 3000 |
| Rs. 600 |
| Q4.How are the claims costs ideally controlled? |
| by improved application of dividend payments |
| by improved application of loss management |
| by improved application of risks |
| by improved application of damage control |
| by improved application of underwriting |
| Q5.In which section of the policy document is the location of the property to be insured mentioned? |
| Schedule |
| Heading |
| Preamble |
| Conditions |
| Operative clause |
| Q6.For what is the Trial Balance used? |
| To prepare the Premium Register |
| To prepare the cash book |
| To prepare the account book |
| To prepare the Balance she |
| To prepare the Passbook |
| Q7.The full form of ILU is ____. |
| Institute of London Ultrasounds |
| Institute of London Unified |
| Institute of London Undertakers |
| Institute of London Universities |
| Institute of London Underwriters |
| Q8.What is not an implied condition of insurance? |
| Contribution |
| Legality of object |
| Insurable interest |
| Existence of subject matter |
| Utmost good faith |
| Q9.In PA, the coverage for loss of two limbs and two eyes is _ %. |
| 25 |
| 50 |
| 75 |
| 95 |
| 100 |
| Q 10.If a / an ___ issues a Claim Form, it does not constitute an admission of liability on its part. |
| Agent |
| Insured |
| Claimant |
| Broker |
| Insurer |