IC38 - English Exam (Life Agent Exam) Mock Test 08

Q1. What is insurance contract?

a) A financial agreement between two parties for an unspecified amount
b) A legal agreement for financial protection against specified risks for a premium
c) A mutual agreement between policyholder and insurer
d) A non-binding verbal agreement

Q2. What is meant by consensus ad-idem in a contract?

a) Mutual benefit for both parties
b) Free and informed consent
c) Agreement on the same thing in the same sense
d) Competency of both parties to enter into the contract

Q3. What is the condition for the payment to be made under the diagnosis cover for a covered vector borne disease?

a) Positive diagnosis by any medical practitioner
b) Positive diagnosis by a specialized vector borne disease specialist
c) Positive diagnosis through self-diagnosis
d) Positive diagnosis through laboratory examination and confirmation by a medical practitioner

Q4. What is the consideration in a contract?

a) The premium paid by the insurer
b) The promise to indemnify by the insurer
c) Both a) and b)
d) None of the above

Q5. What is the funding structure of the Central Government Health Scheme (CGHS)?

a) Fully funded by the employees
b) Fully funded by the employer (central government)
c) Partially funded by the employees and largely by the employer (central government)
d) Funded by non-life insurance companies

Q6. What is the Human Life Value (HLV) concept based on?

a) The total amount of money a person has saved over their lifetime
b) An individual’s expected net future earnings
c) The number of years a person is expected to live
d) The amount of insurance a person has already purchased

Q7. What is the most common form of group health insurance?

a) Policies taken by individuals for themselves
b) Policies taken by associations and organizations
c) Policies taken by employers for their employees and families
d) Policies taken by the government for citizens

Q8. What is the purpose of a top-up policy in this scenario?

a) To provide additional coverage beyond the sum insured by the basic policy
b) To reduce the premium cost of the basic policy
c) To replace the coverage provided by the basic policy
d) To offer a separate insurance policy for a single hospitalization

Q9. What is the purpose of an endorsement in health insurance?

a) To exclude certain perils from the policy coverage
b) To change the premium amount of the policy
c) To record changes or amendments to the policy terms and conditions
d) To cancel the insurance policy

Q10. What is the range of health insurance products available to customers?

a) Only one product - Mediclaim
b) A few products with similar features
c) A wide range of products with different types of coverage
d) Limited options for individuals and families