IC14 Mock Test Sample 10
These questions cover key concepts in insurance regulations, IRDAI guidelines, ULIPs, AML norms, and policy servicing. Important areas include premium definition, investment risk in ULIPs, claim settlement timelines, and regulatory compliance like TPA capital and broker training. Concepts such as IBNR, fund management charges, and fact-finding highlight operational aspects. Legal frameworks like ESIC Act, NDPS, and consumer forums are also tested. Questions emphasize policyholder protection, transparency, and financial discipline. Understanding these topics is essential for insurance exams like LIC, III, and IRDA certification, as they form the foundation of insurance principles, regulatory environment, and ethical practices in the industry.
1. What fee is charged by the authority to issue duplicate copy of licence to Corporate Agents?
a) Rs 10
b) Rs 50
c) Rs 100
d) Rs 250
2. The minimum functional capital of a TPA shall not be less than ______.
a) Rs 25 lakh
b) Rs 50 lakh
c) Rs 1 crore
d) Rs 2.5 crore
3. The major difference between an ULIP and a traditional Endowment Plan is that under a ULIP, the investment risks are borne by the _______.
a) Insurance Company
b) Underwriter
c) Agents
d) Policy holders
4. How many technical members are there in the GRA?
a) 1
b) 2
c) 3
d) 4
5. In the full form of NDPS, 'P' stands for __________.
a) Psychosis
b) Profiteering
c) Psychotropic
d) Pharma
6. The __________ will recommend the name of technical members for selecting them in the GRA.
a) Judicial members
b) Chairman
c) Selection Committee
d) Permanent members
7. The _______ is an evidence of the contract of carriage of goods between ship owner and the shipper.
a) Certificate of Origin
b) Import Export Certificate
c) Mate Receipt
d) Bill of Lading
8. Identify the statement which goes with 'Fund Management Charge'.
a) Levied to cover the cost of riders
b) Levied for any alterations within the contract
c) As a fixed percentage of Premium or Sum Assured
d) Levied at the time of NAV computation
9. An Insurance Broker soliciting and procuring business has to undergo at least _____ hours of training.
a) 25
b) 50
c) 60
d) 100
10. The consideration paid to the insurer in return of an assured sum is called _______.
a) Annuity
b) Installment
c) Down Payment
d) Premium
11. In Single Premium (SP) contracts, minimum sum assured for age at entry of 45 years and above is _____.
a) 110% of single premium
b) 115% of single premium
c) 125% of single premium
d) 132% of single premium
12. A ______ agent can act both as an insurance agent for life insurer as well as a general insurer.
a) Individual Insurance
b) Corporate
c) Composite Insurance
d) Composite Corporate
13. One of the most important objectives of IRDA is _______.
a) Protect Insurer's interest
b) Protect Intermediary's interest
c) Protect Government's interest
d) Protect Policy holders interest
14. Employee's State Insurance Act was enacted in ______.
a) 1865
b) 1899
c) 1925
d) 1948
15. IBNR stands for _______.
a) Incurred But Not Reported
b) Incurred But Not Reviewed
c) Incurred Beforehand Not Reviewed
d) Income Before Net Result
16. Which forum consists of President (Judge of Supreme Court) and members not less than four including one lady member?
a) National Commission
b) State Commission
c) District Forum
d) MWP Forum
17. Appeal in the Supreme Court can be made subject to deposit of _______ or 50% whichever is less.
a) Rs 25000
b) Rs 35000
c) Rs 50000
d) Rs 75000
18. Repudiation of a policy due to misstatement (not fraud) will _______.
a) Impose fine on policy holder
b) Impose fine on policy holder and agent
c) Entitle the policy holder for a refund
d) Not entitle the policy holder for a refund
19. In Insurance Sector, restrictions on accepting cash beyond _____ is done to control money laundering.
a) Rs 10000
b) Rs 25000
c) Rs 40000
d) Rs 50000
20. As per IRDA regulations, the process of gathering and analyzing client information is called _______.
a) Data Gathering
b) Fact Finding
c) Information Finding
d) Data Analyzation
