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Category: IC02 PRACTICE OF LIFE INSURANCE – 14

IC02 PRACTICE OF LIFE INSURANCE – 14

Que. 1 : Q1) A policy document for a money back policy includes the statement ‘the proposal and declaration signed by the proposer form the basis of contract’. This will usually appear in which main section of the policy document ?

   1.  a) Operative clause

   2.  b) Attestation

   3.  c) Terms and conditions

   4.  d) Preamble

Que. 2 : Q2) Which of the following is an example of a restrictive condition?

   1.  a) No Claim will be paid if the Life Assured commits Suicide

   2.  b) If the policyholder does not pay the premium by the due date the policy would be null and void and all benefits under the policy will cease and premiums paid till date will be forfeited

   3.  c) If the information provided by the policy holder on the proposal, personal statements or declaration were found to be untrue then the policy would be null and void and all benefits under the policy will cease and premiums paid till date will be forfe

   4.  d) If death takes place the instalments of premium due for the remainder of the policy period will be deducted from the claim amount

Que. 3 : Q3) Which of the following statements is False?

   1.  a) The Insurer may consider payment of claim presuming death only after Seven years have elapsed as per Indian Evidence Act

   2.  b) As per IRDA regulations the decision on proposal must be conveyed with in 15 days

   3.  c) If the agent offers whole or part of his commission as Rebate his agency can be terminated

   4.  d) The reinstatement of a foreclosed policy is allowed even if the balance surrender value have been paid to the Policy Holder

Que. 4 : Q4) In order to avoid the forfeiture clause, premiums for at least how many years are required to be paid by the policyholder?

   1.  a) One year

   2.  b) Two years.

   3.  c) Three years.

   4.  d) Four years.

Que. 5 : Q5) In____________annuity is paid to the annuitant for their entire life. On the death of the annuitant, 50% of the pension will be paid to the spouse for as long as the spouse lives.

   1.  a) Joint life last survivor annuity

   2.  b) Annuity for life with return of premiums

   3.  c) Life annuity

   4.  d) Term insurance