IC23 Mock Test Sample 6
Risk refers to uncertainty of undesirable outcomes. Financial planning begins with gathering financial information. Nomination is done by the policyholder. Policy documents generally do not include nominee address. An executor is the legal representative of a deceased person. NHS stands for National Health Service. Takaful is based on Taawun and Tabarru principles. Reinsurance is risk transfer to reinsurer. Hospital cash benefit pays fixed amounts. Deferred annuity starts after a period. Indemnity plans usually last one year. In quota share, 75% premium is ceded. Retirement planning begins in earning stage. Section 80D provides ₹25,000 deduction. PFRDA HQ is New Delhi.
1. ________ involves uncertainty about undesirable consequences.
a) Financial planning
b) Accident
c) Risk
d) Human life
Ans: c) Risk
2. Collecting personal & financial information comes under _______.
a) Identification of goals
b) Gathering financial information
c) Analysing preferences
d) Original annuity
Ans: b) Gathering financial information
3. Nomination can be done by a _____________.
a) Insurer
b) Nominee
c) Policyholder
d) Either (a) or (c)
Ans: c) Policyholder
4. Which is NOT mentioned in policy document?
a) Name of life assured
b) Address of nominee
c) Name of nominee
d) Policy number
Ans: b) Address of nominee
5. _________ is the legal representative of a deceased person.
a) Legatee
b) Executor
c) Testatee
d) All the above
Ans: b) Executor
6. Full form of NHS is _____________.
a) National Health Service
b) Nation Health Service
c) National Health Sector
d) PPO
Ans: a) National Health Service
7. Takaful insurance is based on ____________.
a) Principle of Taawun
b) Principle of Tabarru
c) Principle of Shariah
d) Both (a) & (b)
Ans: d) Both (a) & (b)
8. Which is true about reinsurance?
a) Risk transfer
b) Ceding of risk
c) Indirect business
d) All the above
Ans: d) All the above
9. _________ are payable at fixed intervals for domiciliary treatment.
a) Major Surgical Benefit
b) Hospital Cash Benefit
c) Domiciliary Treatment Benefit
d) All (i), (ii) & (iii)
Ans: b) Hospital Cash Benefit
10. In ___________, annuity starts after deferment period.
a) Immediate annuity
b) Ordinary annuity
c) Deferred annuity
d) Withdrawal
Ans: c) Deferred annuity
11. Plan tenure of indemnity based plans is ________.
a) One year
b) Five years
c) Ten years
d) Fifteen years
Ans: a) One year
12. In 75% quota share, insurer cedes ______ premium.
a) 1/4
b) 3/4
c) 2/4
d) None
Ans: b) 3/4
13. Need for retirement planning arises at ________.
a) Pre-retirement stage
b) Post-retirement stage
c) Initial stage
d) Prime earning stage
Ans: d) Prime earning stage
14. Risks handled first are with ______ loss & ______ probability.
a) Highest, lowest
b) Lowest, highest
c) Greatest, highest
d) Highest, greatest
Ans: c) Greatest, highest
15. True statement about Section 80D deduction?
a) ₹25,000 for self/family
b) Varies with age
c) ₹25,000 for parents (<60)
d) All the above
Ans: d) All the above
16. False statement about nomination?
a) No beneficial interest except receiving money
b) Policyholder can nominate
c) Policyholder can nominate (duplicate)
d) None of the above
Ans: d) None of the above
17. Headquarters of PFRDA is at ______.
a) Mumbai
b) Hyderabad
c) New Delhi
d) Chennai
Ans: c) New Delhi
18. Insurance cover thumb rule is ______ times salary.
a) 5
b) 10
c) 15
d) 20
Ans: b) 10
19. NPS Trust established under ________.
a) Indian Trust Act 1881
b) Indian Trust Act 1882
c) Pension Act 1972
d) Atal Pension Yojana
Ans: b) Indian Trust Act 1882
20. Factors to consider while buying insurance?
a) Lifestyle needs
b) Expenses of dependents
c) Inheritance
d) All the above
Ans: d) All the above
