IC11 PRACTICE OF GENERAL INSURANCE EXAM – 04

Q1.Increased value’ insurance covers are issued for __.
 imports
 exports
 both exports and imports
 marine cargo imports
 carriage by road

 

Q2.Which document has the final supremacy when there is a conflict in the wordings of various documents?
 Proposal
 Policy
 Contract
 Preamble
 Policy schedule

 

Q3.In which insurance can the certificate take the place of policy?
 Fidelity insurance
 Marine insurance
 Contractors ‘All risks insurance’
 Fire insurance
 Health insurance

 

Q4.The All Risks Insurance Policy ___ .
 is decided on the principle of indemnity
is settled on an agreed value basis
 is based on the principle of contribution
 is settled on the basis of loss incurred
 None of the above

 

Q5.A deductible is also known as __ .
 a franchisee
 a warranty
 a representation
 an excess
 a declaration

 

Q6.A man insures his property for Rs.500000. The Actual value of the property is Rs.750000. There is a loss of Rs.100000. How much will the insurer pay?
 Rs.100000
 Rs.500000
 Rs. 83000
 Rs. 125000
 Rs. 67000

 

Q7.Which policy does not take into account depreciation?
 First loss policy
 Fire policy
 Marine cargo policy
 Reinstatement value policy
 Family floater policy

 

Q8.Which of these are contractual obligations that require one party to the contract to do something before the other party to the contract is required to do something?
 implied conditions
 express conditions
 conditions subsequent to the contract
 compulsory conditions to the contract
 conditions precedent to the contract

 

Q9.The contra proferentum rule is used against the _____.
 the insurer when it declines a claim
 the insurer when the wordings in the policy document are ambiguous
 the insured when he suppresses an important and material fact
 the underwriter when he charges a wrong premium
 the insurer when it delays servicing of a policy

 

Q10.In which of the below activities is an actuary not involved?
 Loss assessment
 Pricing
 Financial management
 Product design
 Corporate planning

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