IC29 Mock Test Sample 15
General insurance claims involve claim registration, ethical handling, survey requirements, and settlement principles across health, motor, marine, and fidelity insurance. The claim function is considered the “moment of truth” because it reflects the insurer’s commitment to policyholders. Policies such as stock declaration, critical illness, and fidelity guarantee address specific risks and conditions. Marine insurance uses clauses like Institute War Clauses and transit clauses to define coverage duration and war-related perils. Motor and fire claims may be settled on reinstatement or market value basis depending on policy terms. Proper survey procedures, transparency, prompt action, and compliance with IRDAI regulations are essential for fair and efficient claim settlement.
Q1. Sub-letting of survey work is:
a) Generally not allowed without insurer’s consent
b) Always allowed
c) Permanently banned
d) Premium related only
Q2. The claim function is called the “moment of truth” because:
a) Insurer fulfils its promise to insured
b) Premium is collected
c) Policy is issued
d) Commission is paid
Q3. Health insurance policy renewal is:
a) Guaranteed lifelong subject to conditions
b) One-time only
c) Till 65 years only
d) Not renewable
Q4. Claim registration is done by:
a) Insurer in claim system after intimation
b) Agent only
c) Regulator only
d) Surveyor only
Q5. Stock declaration policy is useful when:
a) Stocks fluctuate during the year
b) Stocks remain constant
c) No stocks exist
d) Only machinery exists
Q6. Mines, torpedoes and bombs are covered under:
a) Institute War Clauses (Cargo)
b) ICC (A)
c) ICC (B)
d) ICC (C)
Q7. Survival period in CI policy is typically:
a) 30 days
b) 1 day
c) 180 days
d) 1 year
Q8. In fidelity guarantee claim, loss must result from:
a) Dishonest or fraudulent act of employee
b) Fire
c) Accident
d) Burglary
Q9. Depreciation on glass in motor OD claim is:
a) Nil
b) 50%
c) 25%
d) 75%
Q10. Consequential loss and wear & tear in motor OD are:
a) Excluded
b) Covered fully
c) Paid under PA
d) Reinsured
Q11. Compensation in TP death claim includes:
a) Dependency, funeral and consortium compensation
b) Only salvage
c) Only bonus
d) Only premium
Q12. Machinery loss under fire policy is settled on:
a) Reinstatement or depreciated market value
b) Salvage value only
c) Book value only
d) FIR value only
Q13. Transit clause terminates at:
a) Final warehouse delivery or expiry period
b) Only on delivery
c) After six months
d) On invoice date
Q14. Market value basis pays:
a) Depreciated value based on age and use
b) New for old
c) Salvage only
d) Full SI always
Q15. Survey above prescribed limit is mandatory under:
a) Section 64UM of Insurance Act, 1938
b) Section 45
c) Section 64VB
d) Section 138
Q16. Standard hull clauses widely used are:
a) ITC-Hulls
b) Institute Cargo Clauses
c) Institute Aviation Clauses
d) SRCC clauses only
Q17. Interest on delayed claim settlement is payable under:
a) IRDAI PPI Regulations
b) RBI rules
c) SEBI rules
d) MCA rules
Q18. Suppliers extension covers:
a) Loss due to damage at supplier’s premises
b) Only insured’s premises
c) Customer’s premises only
d) Employees’ homes only
Q19. Salvage valuation is typically done by:
a) Surveyor through tender or auction
b) Insured alone
c) Broker only
d) Customs authority
Q20. Ethical liability claim handling requires:
a) Fairness, transparency and prompt action
b) Delay
c) Denial
d) Inflated settlement
