IC39 Mock Test Sample 10
These questions focus on insurance concepts, fraud detection, and legal frameworks. They cover motor insurance fraud types, government-supported health schemes, and life insurance products like whole life policies. The importance of proposal forms, documentary evidence, and insurable interest is highlighted. Fraud-related topics include identity theft, deliberate losses, and internal fraud. Legal aspects emphasize the Indian Contract Act and IPC provisions. Anti-fraud policies, FATF’s role, and money laundering techniques are also discussed. Additionally, customer data collection, group health insurance, and consequences of non-disclosure are covered. Overall, the content stresses ethical practices, regulatory compliance, and effective fraud prevention in insurance.
Q1. Which of the following is NOT a motor insurance fraud?
a) Losses prior to commencement of cover
b) Deliberate losses
c) Change of driver
d) Genuine accident claims
Q2. Government-supported health insurance schemes are sponsored in partnership with:
a) Local Authorities
b) Private Insurance Companies
c) Central and State Governments
d) Non-Governmental Organizations
Q3. Define “Whole Life” policy in life insurance:
a) Covers only accidental deaths
b) Fixed term coverage
c) Covers specific age group
d) Lifelong coverage with savings component
Q4. Role of proposal form in insurance contract:
a) Proposal form is evidence, policy gives terms
b) Proposal form gives terms, policy is evidence
c) Both serve as evidence
d) Proposal form is irrelevant
Q5. Which is NOT documentary evidence?
a) Income/age/occupation documents
b) Claim form
c) Stock registers
d) Statements from first responders
Q6. Which of the following is a benefit of insurance?
a) Financial security
b) Recovery through claims
c) Support to family
d) All of the above
Q7. Which legal framework deals with punishment for insurance frauds?
a) Criminal Procedure Code
b) Insurance Fraud Act
c) Consumer Protection Act
d) Indian Penal Code
Q8. Fire loss fraud in motor insurance occurs when:
a) Accidental fire
b) Third-party fire
c) Fire after theft
d) Insured deliberately sets fire
Q9. Accident under intoxication is treated as:
a) Claim fully admissible
b) Claim denied
c) Claim partially reduced
d) Claim allowed with higher premium
Q10. Insurable interest can arise from:
a) Statute
b) Contract
c) Common law
d) All of the above
Q11. Customer information should be collected from:
a) Customer directly
b) Agents/intermediaries
c) Government databases
d) All of the above
Q12. Indian Contract Act, 1872 relates to insurance by:
a) Governing only insurance
b) Not applicable
c) Providing legal framework including fraud provisions
d) Applicable only to life insurance
Q13. Primary characteristic of group health insurance:
a) Issued individually
b) Only for individuals
c) Issued to a group (e.g., employees)
d) Only family coverage
Q14. Non-disclosure in insurance contract is:
a) Breach of contract
b) Fraudulent or innocent
c) Violation of policy
d) Negligence
Q15. Identity theft and card fraud involve:
a) Improving credit score
b) Opening legal accounts
c) Unauthorized access using personal data
d) Legal purchases
Q16. In deliberate motor fraud, insured may:
a) Provide mileage info
b) Report third-party accident
c) Declare actual value
d) Remove high-value parts
Q17. Important features of anti-fraud policy include:
a) I, II, III
b) II, III, IV
c) III, IV, V
d) II, III, IV
Q18. FATF is also known as:
a) GAFI
b) OECD
c) IMF
d) World Bank
Q19. Criminals transfer illegal gains by:
a) Trade transactions
b) Legitimate investments
c) Complex instruments
d) All of the above
Q20. “Audit” or “vigilance” fraud is categorized as:
a) White-collar fraud
b) External fraud
c) Internal fraud
d) Cyber fraud
