IC57 FIRE AND CONSEQUENTIAL LOSS INSURANCE - 04
| Q1.___ are claims which are paid as a matter of grace where the loss is outside the scope of the policy or the liability under the policy, in strictly legal terms, is doubtful. |
| Warranty payments |
| Non-Warranty payments |
| Ex-gratia payments |
| Endorsement payments |
| Alteration payments |
| Q2.‘No claim is payable or any 'on-account payment shall be paid, if the terms of this condition are not complied with’. The above statement is true with regards to which ‘condition’ in the policy? |
| Condition 1 |
| Condition 2 |
| Condition 3 |
| Condition 4 |
| Condition 5 |
| Q3.What is meant by drafting policies? |
| It means completion of the schedule which forms part of the fire policy |
| It means providing evidence of insurance before the policy document is issued |
| It means providing evidence of insurance after the policy document is issued |
| It means filling up all the relevant information in the proposal form by the agent |
| It means signing a declaration from the proposer, that all the information provided by him is correct. |
| Q4.Examine the components of a ‘consequential loss policy’ and identify the section within which ‘various definitions related to the policy will be included. |
| Proviso |
| Operative clause |
| Schedule |
| Specification |
| Policy Conditions |
| Q5.In a claim settlement, in case of delay in the payment, the insurer shall be liable to pay interest at a rate which is __ above the bank rate prevalent at the beginning of the financial year in which the claim is reviewed by it. |
| 0.02 |
| 0.03 |
| 0.04 |
| 0.05 |
| 0.06 |
| Q6.In fire insurance, the ‘onus of proof’ that the loss was the direct result of fire rests with ____. |
| Insurer |
| Insured |
| Surveying officer |
| Insurance agent |
| Re-insurer |
| Q7.In which of the following circumstances can spontaneous combustion occur? |
| Provision of ventilation |
| Avoidance of moisture |
| Non-Provision of ventilation |
| Non-absorption of oxygen by air |
| Slow oxidization |
| Q8.Experts have recognized three main classes of occupancies, on the basis of fire load. Which of the following will be classified under “low fire load”? |
| Retail shops |
| Residential premises |
| Bulk storage godowns |
| Factory buildings |
| Warehouses |
| Q9.Under which of the following sections, rates are provided for different types of goods stored in godowns or silos or in the open outside the compound of industrial risks? |
| Simple risks (Section III) |
| Industrial manufacturing risks (Section IV) |
| Utilities (Section V) |
| Storage risks (Section VI) |
| Tank Gasholders (Section VII) |
| Q10.The Industrial All Risks Policy covers compulsory as well as optional covers/perils. Listed below are some compulsory covers/perils. List the odd one (optional cover/peril) out. |
| Machinery Loss of Profit Cover |
| Burglary (free) |
| Fire and All Special Perils |
| Electronic Equipment Insurance |
| None of the above |