IC38 - English Exam (Life Agent Exam) Mock Test 03
These IC38 questions cover important concepts in motor insurance, insurance agent conduct, life insurance, contracts, health insurance, customer service, critical illness insurance, and travel insurance. Third-party motor insurance is mandatory for vehicles driven on public roads in India. Insurance agents must follow prescribed rules and avoid prohibited practices while soliciting business. Keyman insurance provides financial protection to a business against losses related to a key person. Money Back policies provide death benefits according to policy terms. Acceptance is an essential element of a contract. WHO defines health broadly as complete physical, mental, and social wellbeing. Customer service, critical illness protection, life insurance, and travel insurance are also examined.
Q1. In India, which type of insurance is mandatory if one wants to drive on a public road?
a) Personal accident cover for the owner-driver
b) Own damage cover for the car
c) Third party insurance
d) Comprehensive insurance cover
Q2. What are the prohibitions for insurance agents while soliciting or procuring insurance business?
a) Offering different rates, advantages, terms and conditions other than those offered by one's insurer
b) Demanding or receiving a share of proceeds from the beneficiary under an insurance contract
c) Inducing the prospect to omit any material information or submit wrong information in the proposal form
d) All of the above
Q3. What does Keyman insurance compensate with?
a) Actual losses incurred
b) A fixed monetary sum as specified on the insurance policy
c) Compensation in the form of company shares
d) Indemnity for the key person’s income loss
Q4. What happens if the insured dies during the term of a Money Back policy?
a) The premiums paid are returned to the insured's nominees
b) The sum assured is paid in full to the insured's nominees
c) The sum assured and bonuses accrued are paid as death benefit
d) The policy becomes null and void
Q5. What is acceptance in a contract?
a) When a person signifies his/her willingness to do something
b) When a person accepts a proposal
c) When a person pays the deposit amount
d) None of the above
Q6. What is the definition of health provided by the World Health Organization (WHO)?
a) Health is the absence of disease or infirmity.
b) Health is the state of physical and mental wellbeing.
c) Health is the absence of social problems and diseases.
d) Health is a state of complete physical, mental, and social wellbeing, not merely the absence of disease or infirmity.
Q7. What is the importance of providing great customer service as an insurance agent?
a) It helps the agent earn more commission
b) It creates a memorable experience for the customer
c) It helps the agent acquire new customers more easily
d) It does not have any impact on the success of the agent
Q8. What is the primary concern addressed by a critical illness policy?
a) The need for routine medical check-ups and preventive care
b) The availability of advanced medical treatments for major diseases
c) The financial burden associated with surviving a critical illness
d) The risk of developing chronic diseases in the future
Q9. What is the purpose of life insurance products?
a) To increase the earning capabilities of an individual
b) To create an estate in the name of the insurer
c) To provide protection against the loss of economic value due to death or disability
d) To provide certain rates of return on investments
Q10. What is typically excluded in Overseas Medical/Travel Insurances?
a) Pre-existing diseases
b) Accidental injuries
c) Mental disorders
d) Loss of baggage
