IC23 Mock Test Sample 17
Stop loss reinsurance protects against aggregation of small losses. Guaranteed surrender value arises after 2 consecutive years. First reinsurance company in India is General Insurance Corporation (GIC Re). An annuity provides periodic payments. Suitable plan for Abhinav is all options (protection, health, pension). EDLI started in 1976. Succession certificate is issued by court. Financial planning helps achieve goals. Assignment does not relate to business acquisition purpose. Tax benefit on health premium under Section 80D. Reinsurance originated in marine insurance. Gratuity is salary-based benefit. Public Provident Fund is defined contribution plan. Survival benefits are maturity claims.
1. Which of the following protects insurer from aggregation of small losses?
a) Facultative reinsurance
b) Stop loss reinsurance
c) Surplus reinsurance
d) Quota share reinsurance
2. As per Section 113(1), surrender value is acquired after ______ years.
a) 1
b) 2
c) 3
d) 4
3. First reinsurance company in India is ______
a) National Reinsurance company
b) Bharat Reinsurance company
c) General Reinsurance company
d) Co-insurance
4. ______ is an interest-bearing contract providing periodic payments.
a) Pension
b) Annuity
c) Insurance
d) All of the above
5. Suitable plan for Mr. Abhinav (45 yrs, married, one daughter) is ______
a) Mortgage protection
b) Health insurance
c) Pension plans
d) All of the above
6. EDLI scheme was established in ______
a) 1975
b) 1976
c) 1977
d) 1978
7. Succession certificate is granted by ______
a) Government
b) Bank
c) Court
d) Municipal corporation
8. ______ is achieving financial goals using financial resources and tools.
a) Product planning
b) Financial planning
c) Family planning
d) Retirement planning
9. Which is NOT true about assignment?
a) Helps in building company image
b) Done by endorsement on policy
c) Effective immediately after assignment
d) To make policyholder happy & acquire business
10. Health insurance tax benefit is under ______
a) TLV
b) Section 80D
c) Section 80E
d) GLV
11. Reinsurance need first felt in ______
a) Life insurance
b) Travel insurance
c) Motor insurance
d) Marine insurance
12. Service tax on direct premium in India is ______
a) 3%
b) 15%
c) 2%
d) 7%
13. ______ is based on final salary and years of service.
a) General Provident Fund
b) Leave encashment
c) Pension
d) Gratuity
14. In which reinsurance no commission is payable?
a) Financial analysts
b) Fire proportional reinsurance
c) Proportional treaty reinsurance
d) None of the above
15. Tax deduction on medical insurance premium is under ______
a) Section 80C
b) Section 80D
c) Section 80E
d) Section 80G
16. First reinsurance company in India was formed in ______
a) 1946
b) 1952
c) 1956
d) 1962
17. ______ is a defined contribution plan with no govt contribution.
a) General Provident Fund
b) Leave Encashment
c) Pension
d) Public Provident Fund
18. Which statement is NOT true about insurance contract?
a) Agreement for premium and compensation
b) Claim can be fixed or indemnity-based
c) Claims paid only from individual's premium
d) Both (a) & (c)
19. Maturity claims during policy term are called ______
a) Medical benefits
b) Survival benefits
c) Death benefits
d) Health benefits
20. ______ introduced equity linked insurance products to customers.
a) Section 80C
b) Government sector
c) Private sector
d) Section 80G
