ICS05 - Engineering Insurance (Surveyor) Mock Test 10
Engineering Insurance covers risks related to construction, machinery, boilers, pressure plants, and erection projects. Important policies include Industrial All Risk (IAR), Contractors Plant and Machinery (CPM), Contractors All Risk (CAR), and Erection All Risks (EAR). IAR policies contain deductibles and specific policy clauses such as preamble, conditions, schedule, and attestation clauses. Boiler insurance addresses risks including explosion, collapse, overheating, and water-related damage. CPM provides protection for construction machinery, while CAR includes provisions concerning reinstatement of the sum insured after a claim. Engineering policies generally exclude normal wear and tear and certain inherent defects. Understanding policy clauses, exclusions, depreciation, deductibles, and reinstatement provisions is essential for ICS05 preparation.
Q1. IAR Policy is subject to maximum deductible of:
a) Rs. 50,00,000
b) Rs. 25,00,000
c) No upper limit
d) None of above
Q2. ____________ where the policy is signed by an authorized official of the insurer giving the company's seal and date of issue of the policy.
a) The Preamble or Recital Clause
b) Conditions
c) Attestation or Signature Clause
d) Schedule
Q3. ___________ is a sudden and violent rendering or tearing apart of the permanent structure of a boiler or pressure plant or any part or parts thereof by force of internal steam, gas or fluid pressure causing bodily displacement of the said structure.
a) Explosion
b) Collapse
c) Eruption
d) Inundation
Q4. CPM is
a) Coverage all risk policy with inclusion of breakdown
b) All risk policy with exclusion of breakdown
c) Self-propelled machineries on public/private road
d) None of the above
Q5. Depreciation on glass-lined vessels under MB policy
a) 25% per annum
b) 20% per annum
c) 10% per annum
d) As technically assessed by the surveyors
Q6. CAR policy is subject to
a) Re-instatement of sum insured after payment of claim, additional pro-rata premium from DOL to DOC
b) Re-instatement of sum insured is automatic without payment of additional premium
c) Sum Insured is reduced by the claim amount
d) None of the above
Q7. Which of the following risks is not associated with boilers that are used for generation of steam in industries?
a) Explosion and collapse
b) Damage from overheating due to shortage of water
c) Damage due to presence of grease or scale-forming impurities in the feed water
d) Overheating caused due to leak of cooling water
Q8. CPM policy is
a) Coverage all risk policy with inclusion of Breakdown
b) All risk policy with exclusion of breakdown
c) Self-propelled machineries on Public / Private Road
d) None of the above
Q9. In a Comprehensive Project Insurance, which loss is not indemnifiable?
a) Loss arising out of human errors
b) Loss arising out of faulty erection
c) Loss arising out of wear and tear of property insured
d) Loss or damage due to defects in design, plan or specification, material or workmanship
Q10. Erection All Risks Policy is also known as
a) Storage Cum Erection Policy
b) PR Costs Involved in Disaster Management
c) Cover for Failure to Perform
d) Transportation of the Defective Products
