IC14 Mock Test Sample 12
These questions focus on key insurance regulations, ULIP guidelines, and policy servicing norms. Important topics include Section 45 (policy repudiation), KYC requirements, solvency ratio, and IRDAI regulations. ULIP features such as top-up premiums, yield reduction, and inflation protection are highlighted. Concepts like free-look period, nomination rules, and contestability period emphasize policyholder rights. Regulatory bodies like GRA, Ombudsman, and Life Insurance Council ensure fair practices. Financial discipline through solvency norms and accounting guidelines ensures insurer stability. These concepts are essential for understanding insurance operations, compliance, and customer protection, forming a strong base for exams like LIC, IRDAI, and III certifications.
1. __________ is issued immediately as conclusive evidence that the insurer has received the assignment request by the policyholder.
a) Policy acknowledgement
b) Acknowledgement letter
c) Cover Note
d) Form 5 A
2. ________ deals with disputes between insurer and insurer.
a) Consumer commission
b) Office of Insurance Ombudsman
c) Grievance Redressal Authority
d) Consumer councils
3. Books of accounts of insurance companies are maintained as per guidelines of ______.
a) RBI
b) Insurance company head office
c) IRDAI
d) Ministry of Corporate Affairs
4. ULIPs provide protection against benefits being _________.
a) Eroded by inflation
b) Depleted by recession
c) Added by deductions
d) Incremented by appreciation
5. As per Sec 45, policy shall not be questioned after _______.
a) 1 year
b) 2 years
c) 3 years
d) 5 years
6. Full form of GIBN is ______.
a) General Insurance Buy-out Notifications
b) General Insurance Bonus Nationalization
c) General Insurance Business Notification
d) General Insurance Budget Notifications
7. Additional payments in ULIPs are treated as ______.
a) Premium top-up
b) Extended premium
c) New premium
d) Single premium
8. Maximum reduction in yield after 15 years is ______.
a) 4%
b) 3.75%
c) 3.30%
d) 2.25%
9. During free look period, policy must be returned with ________.
a) Affidavit
b) Proposal form
c) Covering letter
d) Apology letter
10. KYC means _______.
a) Know your country
b) Know your customer
c) Know your company
d) Know your client
11. Appeal to Supreme Court against National Commission order within ______.
a) 5 days
b) 15 days
c) 30 days
d) 45 days
12. ________ is not mandatory under KYC norms.
a) Purpose of contract
b) Verifiable address
c) Copy of sale deed
d) Recent photographs
13. Ability of insurer to meet claims is measured by ______.
a) Price Earning Ratio
b) Profitability
c) Share Capital
d) Solvency Ratio
14. Life Insurance Council informs IRDAI if insurer shows prejudice to ______.
a) Intermediary
b) Employee
c) Nominee
d) Policy holder
15. Policies are repudiated under Section ______ of Insurance Act.
a) Section 44
b) Section 45
c) Section 46
d) Section 47
16. Minimum term of health insurance is ______.
a) 1 year
b) 2 years
c) 3 years
d) 5 years
17. Section 6 of MWP Act not applicable to nomination in favour of ______.
a) Spouse
b) Grandparents
c) Wife and/or children
d) Children
18. Which is not viable as a stand-alone insurance product?
a) Micro insurance
b) Endowment
c) Money back policy
d) Group insurance
19. During contestable period, claim can be challenged on grounds of ________.
a) Legal statement
b) Mis-statement
c) Fraudulent statement
d) Incorrect statement
20. Minimum cover in Term Insurance is ______.
a) Rs 3500
b) Rs 5000
c) Rs 6200
d) Rs 7500
