IC23 APPLICATIONS OF LIFE INSURANCE – 18

Q1.In which reinsurance, a direct insurer on a very selective basis basically issues these types of covers since they relate to multi-risk exposures from different lines of insurance and for very large values?
 a) All risks property package reinsurance
 b) Accident/liability reinsurance
 c) Industrial all risks reinsurance
 d) Marine reinsurance

 

Q2.Under which method, the quantum of pension desired to be received on settlement is fixed in advance and the contributions required to be made by an employer to the fund are arrived at using actuarial assumptions?
 a) Provident fund
 b) Superannuation funds
 c) Defined Benefit fund
 d) Defined Contribution fund

 

Q3.Under deferred annuity, which phase begins when the annuitant decides to take income from his annuity and most of the people opt for it during retirement?
 a) Accumulation phase
 b) Payout phase

 

Q4.Which pension is payable throughout his lifetime with the return of purchase price on death along with Group Pension Terminal Bonus, if any?
 a) Guaranteed Pension
 b) Lifetime Pension
c) Pension with the return of purchase price
 d) Increasing annuity

 

Q5.The __ is based on the individual’s desires and the best possible solution to particular circumstances.
 a) Risk
 b) Salvage
 c) Financial plan
 d) None of these

 

Q6.Premature death is a___.
 a) Personal risk
 b) Property risk
 c) Speculative risk
 d) Dynamic risk

 

Q 7.Vijay Contribute Rs.1.5 Lacs p.a. (Rs.12,500 per month) to his family after paying taxes and meeting other expenses. Calculate HLV(Human Life Value) assuming Current Bank FD rates as 5%.
 a) Rs.10,00,000
 b) Rs.15,00,000
 c) Rs.20,00,000
 d) Rs.30,00,000

 

Q8.In which scheme the amount of pension and other benefits are defined in the Rules of the Scheme and the contributions required to finance the benefits are determined after actuarial valuation?
 a) Benefit purchase Scheme
 b) Money purchase scheme

 

Q9.The declaration should relate to ____ of the person making the will.
 a) Legal declaration
 b) Disposition of property
 c) Revocability
 d) Death of the testator

 

Q10.Which pension type may also be linked with the market index or price index?
 a) Guaranteed Pension
 b) Increasing annuity
c) Price index-linked pension
d) Joint life last survivor pension with the return of purchase price

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