IC24 Mock Test Sample 12
These questions cover key concepts from insurance, contract law, taxation, and legal provisions. A contract is an agreement enforceable by law, and limitation periods for claims are generally 3 years. Domicile refers to a person’s permanent home. Nomination rules allow flexibility but must follow conditions. LIC investments require a minimum allocation to government securities. Insurable interest exists in various relationships like bailees, trustees, and cargo owners. Assignment of policies is governed by Section 38. Patents are incorporeal property. Keyman insurance protects businesses from loss of key employees. Proposal form answers are treated as representations. Wealth tax applies beyond a threshold, and legal provisions like Article 372 ensure continuity of laws.
1. An __________ enforceable by law is a contract.
a) Agreement
b) Consideration
c) Promises
d) None of these
2. Where there is a delay on the part of the insurer... rate which is ______ above the bank rate
a) 1%
b) 2%
c) 3%
d) 4%
3. Limitation runs from the date of death... period of limitation shall also be ____
a) 1 year
b) 2 years
c) 3 years
d) 5 years
4. Generally speaking, a person's __________ means the place where he has his permanent home.
a) domicile
b) residence
c) accommodation
d) apartment
5. The pecuniary jurisdiction of the small Causes Court is generally ______.
a) Rs. 25,000
b) Rs. 50,000
c) Rs. 75,000
d) Rs. 1,00,000
6. Which of the below statement is false regarding nomination?
a) Nomination can be made at the time of effecting the policy
b) Nomination can be made anytime during the tenure but not in last one month before maturity
c) Nomination can be made anytime during the tenure
d) A policy can have more than one nominee
7. How much percentage should be invested in Central Government Marketable securities by LIC each year?
a) Not less than 25%
b) Not less than 10%
c) Not less than 15%
d) Not less than 20%
8. Which of the following statements is False with respect to policies under MWP Act?
a) Insurance under MWP Act is free from court attachments
b) The policy cannot be amended or surrendered
c) The policy must be on his own life
d) Nomination and assignment are allowed
9. Pick the True Statement with respect to Insurable Interest
a) Bailees have insurable interest
b) Cargo owners have insurable interest
c) Executors and trustees have insurable interest
d) All of them are True
10. Assignment of insurance policies is regulated by ______ of the Insurance Act, 1938.
a) Section 38
b) Section 39
c) Section 40
d) Section 41
11. Patents will be classified under which type of property?
a) Corporeal
b) Incorporeal
c) Tangible
d) Movable
12. Which of the following is correct about Assignment?
a) Appointment of person to receive death claim
b) Only by life-assured on his own life
c) Applicable only under Insurance Act
d) Only after commencement of policy
13. A Valid __________ creates immediate vested interest in assignee...
a) Absolute Assignment
b) Statutory assignment
c) Conditional assignment
d) None of these
14. The purpose of ______ is to indemnify business for loss due to death of key employee.
a) Partnership Insurance
b) Key man Insurance
c) Group Insurance
d) None of these
15. Which of the following are corporate agent?
a) Firm
b) Company
c) NGO
d) All of these
16. The replies given by the proposer in proposal form are treated as ______ by insurer.
a) Warranties
b) Representations
c) Assurances
d) Promises
17. If net wealth is Rs. 35,00,000, wealth tax payable?
a) Rs. 35,000
b) Rs. 3,500
c) Rs. 5,000
d) Rs. 500
18. Which Article provides for continuance of all the law in force?
a) Article 374
b) Article 372(1)
c) Article 376(2)
d) Article 379
19. A Certificate under Administrator General's Act is ______.
a) Legal discharge
b) Document
c) Evidence of title
d) Agreement
20. Acting as insurance agent without licence punishable with fine up to ______.
a) 250 rupees
b) 350 rupees
c) 500 rupees
d) 750 rupees
