IC23 Mock Test Sample 20
The questions cover key concepts of insurance, finance, taxation, and risk management. ESIS provides benefits for sickness, maternity, disability, and death and is funded by employer, employee, and government. Human Life Value depends on age, income, expenses, and dependents. Income tax slab ₹7.5–10 lakh is taxed at 15%. Takaful and insurance principles include Shariah compliance and risk protection. Term insurance is cheap and provides only death benefit. SEWA is a self-employed women’s association. Risk management follows identifying, measuring, and managing risks. NPS-Lite targets weaker sections. Insurance works on pooling principle, and financial planning ends with monitoring the plan.
1. Which of the following is true regarding Employee State Insurance Scheme?
a) Provides loss of wages due to sickness, maternity, disability and death
b) Funded by employer, employee and state government
c) Over 80% income comes from contributions
d) All the above
2. Human life value is determined by which factors?
a) (i), (ii), (iii) & (iv)
b) Only (ii), (iii) & (iv)
c) Only (i), (ii) & (iii)
d) Only (i), (iii) & (iv)
3. Income tax rate for ₹7.5 lakh to ₹10 lakh slab is:
a) 0.05
b) 0.10
c) 0.15
d) 0.20
4. Which of the following is true regarding ESIS?
a) Provides sickness, maternity, disability, death benefits
b) Funded by employer, employee and government
c) Majority income comes from contributions
d) All the above
5. Group savings linked insurance contribution is deductible under:
a) Section 10(10D)
b) Section 80G
c) Section 80C
d) Section 80D
6. Regulatory authority in Bahrain is:
a) National Bank of Bahrain
b) Central Bank of Bahrain
c) Bahrain Development Bank
d) Gulf International Bank
7. Term insurance is:
a) Cheapest form of life insurance
b) No survival benefits
c) Provides death benefits
d) All the above
8. SEWA is:
a) Trade union for farmers
b) Rural development bank
c) Self-employed women’s association
d) Senior citizen scheme
9. Correct sequence of risk management process:
a) (iii), (ii), (i)
b) (i), (ii), (iii)
c) (ii), (i), (iii)
d) (ii), (iii), (i)
10. Portability of insurance is related to:
a) HSA
b) NHS
c) HIPPA
d) India
11. To avoid liability after 2 years insurer must prove:
a) Disclosure of facts
b) Material fact disclosed
c) Intentional fraud
d) Only (a) & (c)
12. True statement about health protection plans:
a) Tax benefits available
b) No cover ceasing age for domiciliary treatment
c) Premium ceases at term end
d) Only (i) & (ii)
13. Legal declaration of intention of testator is:
a) Will
b) Patent
c) Copyright
d) Both (a) & (c)
14. NPS-Lite was launched to:
a) Rich section coverage
b) Weaker and disadvantaged section coverage
c) Promote luxury savings
d) All of the above
15. Who cannot buy medical expenses insurance?
a) Individuals
b) Families
c) Bank account holders
d) Employees groups
16. Insurance generally works on how many principles?
a) One
b) Two
c) Three
d) None
17. Example of speculative risk is:
a) Train accident
b) Earthquake
c) Stock market investment
d) Car accident
18. Last step of financial planning is:
a) Analysis
b) Monitoring plan
c) Developing plan
d) Implementing plan
19. Insurance planning is:
a) Future planning
b) Financial planning
c) Risk protection process
d) Tax planning
20. Person who inherits property under a will is:
a) Executor
b) Beneficiary (Legatee)
c) Probate
d) Testator
