IC23 APPLICATIONS OF LIFE INSURANCE - 09
| Q1.The exact amount of investment in insurance should be determined by which of the following? (i) Number of dependents (ii) Existing investments (iii) Life stage |
| Only (i) & (ii) |
| Only (ii) & (iii) |
| Only (i) & (iii) |
| Human Life Value |
| High Life Value |
| Q2.Which of the following statement is true? (i) A contract of insurance is a contract of utmost good faith. (ii) A contract of insurance is based on the principle of Berrima fides. (iii) Riders are additional benefits that can be purchased with an insurance policy. |
| Only (i) |
| Only (ii) & (iii) |
| Only (i), (ii) & (iii) |
| Only (i) & (ii) |
| Only (iii) |
| Q3._____is an attractive method of compensation for highly paid employees. |
| Gratuity |
| Provident fund |
| Pension |
| EPF |
| Q4.How many licensed Takaful operators are there in Malaysia? |
| 5 |
| 8 |
| 12 |
| 17 |
| 21 |
| Q5.Under partnership condition of Takaful contract, in case of deficit in Takaful fund, the Takaful operator ___ |
| shall ask for a donation |
| shall undertake to give an interest-free loan |
| shall undertake to give low-interest loan |
| Remuneration Committee |
| ESOS Committee |
| Q6.__refers to the process by which an individual or his/her family arranges the transfer of assets to the legal heirs in the event of death or disability of the individual. |
| Legal planning |
| Estate planning |
| Transfer planning |
| Resource planning |
| Fund planning |
| Q7.In which of the following reinsurance administrative costs are higher? |
| Quota share reinsurance |
| Surplus reinsurance |
| Facultative reinsurance |
| Excessive loss ratio reinsurance |
| Catastrophe ratio reinsurance |
| Q8.Which of the following step of the financial planning process helps to determine where a person wants to be in the future? |
| Gathering financial information |
| Identification of financial goals |
| Analyzing financial preferences |
| Family plan |
| Reinsurance plan |
| Q9.Combination of _____ and ____is frequently used in Marine Cargo reinsurance. |
| Excess of loss reinsurance, Surplus reinsurance |
| Quota Share reinsurance, Fire reinsurance |
| Quota Share reinsurance, Surplus reinsurance |
| Fire reinsurance, Surplus reinsurance |
| Facultative reinsurance, Excess of loss |
| Q10.Which of the following are not the criteria under partnership insurance? |
| two |
| The lives of all the partners should be insured simultaneously under partnership insurance. |
| At the death of the partner, capital must be withdrawn |
| five |
| six |