ICS01 Principles and Practice of Insurance and Survey and Loss Assessment Mock Test 14

Q1. In a scenario involving concurrent causes with both an insured peril and an excepted peril, what is the status of the claim under the policy?

a) The claim is valid under all circumstances.
b) The claim is valid only if the excepted peril has a minor influence.
c) The claim is outside the scope of the policy.
d) The claim is valid if the insured peril has a minor influence.
e) The claim is valid if both perils are of equal influence.

Q2. What determines the applicability of losses payable under a marine policy?

a) The age of the insured vessel
b) The nationality of the claimant
c) The type of cover granted under the policy and its clauses
d) The location of the loss occurrence
e) None of the above

Q3. What is the main risk when buildings of the same height adjoin each other?

a) Risk of structural collapse.
b) Risk of roof exposure.
c) Risk of fire spreading through windows.
d) Risk of exposure to heat radiation.
e) Risk of fire spreading through doors.

Q4. How long does a surveyor have to furnish an additional report upon receiving a request from the insurer?

a) 1 week
b) 2 weeks
c) 3 weeks
d) 4 weeks
e) 1 month

Q5. In what circumstances does an assembly become an "unlawful assembly" according to the Indian Penal Code?

a) When individuals gather for a religious ceremony
b) When three or more persons gather for any common purpose
c) When five or more persons gather without lawful authority and commit certain acts
d) When individuals gather for a peaceful protest authorized by the government
e) When two or more persons gather for socializing

Q6. What is the purpose of verifying the details of the preferred claim submitted by the insured during claim assessments?

a) To increase the workload of the surveyor
b) To entertain the insured
c) To create unnecessary paperwork
d) To sort out any issues of variances between submitted details and observed losses/damages
e) To determine the insured's favorite food

Q7. What role does the Authority play in the licensing procedure according to Chapter II?

a) Setting fees for license issuance
b) Ensuring applicants meet technical qualifications
c) Providing practical training to applicants
d) Approving insurance claims
e) None of the above

Q8. Which policy excludes damages caused by over-running, excessive pressure, short circuiting, or self-heating of electrical and electronic machines?

a) Standard Fire and Special Perils Policy
b) Marine Cargo Policy
c) Homeowners Insurance Policy
d) Automobile Insurance Policy
e) Machinery Insurance Policy

Q9. What does the sum insured represent in valued policies?

a) The maximum limit of payment
b) The minimum coverage amount
c) The deductible amount
d) The average market value
e) The replacement cost

Q10. What are the main issues of interest for an insurer in a survey report?

a) Detailed history of the insured party
b) Speculation on future risks
c) Cause of loss, breach of warranties, methodology of loss assessment, loss adjustment details, and concluding remarks
d) Personal opinions of the surveyor
e) Visual appeal of the report layout