IC45 GENERAL INSURANCE UNDERWRITING – 04

Q1.Which of the following is a disadvantage of the Experience rating method?
 

a) Change in expanding and contracting limits in the experience period

 

 b) Occurrence of loss is an uncommon event

 

 c) Lack of policy information for each claim

 

 d) All of the above

 

Q2.The regulatory standards in India are set in the ___ guidelines and other regulatory directions given from time to by the insurance regulator.
 

 a) File and Use

 

 b) Fill and File

 

 c) File and Upload

 

 d) Download and File

 

Q3.Which of the following comes under Marine risks?
 

 a) Match factories and matches in transit

 

 b) Celluloid and celluloid articles factories

 

 c) Second-hand machinery against breakage

 

 d) Camphor boiling works

 

Q4.Which of the following comes under Property and Casualty Underwriter?
 

 a) Fire underwriters

 

 b) Life and Health underwriters

 

 c) Group Underwriters

 

 d) Liability underwriters

 

Q5.Rates are not the same as premiums. Say whether True or False.
 

 a) True

 

 b) False

 

Q6.Which of the following process are called interdependent?
 

 a) Selection of risks, policy forms

 

 b) Selection of risks, Classification and rating, policy forms

 

 c) Classification and rating, policy forms

 

 d) policy forms

 

Q7.Who is responsible for the following? I) to monitor the business activities of the insurer and ensure that all products being sold by the insurer are in compliance with the underwriting policy II) to file a complete list of all products falling under categories as defined in the ‘F and U’ guidelines. III) file a list of risks underwritten as Large Risks.
 

 a) Agent

 

 b) Appointed actuary

 

 c) Compliance officer

 

 d) Advocate

 

Q8.When considering the long-standing customers, it is necessary that good risks or drivers subsidize bad risks or drivers to some degree. It comes under which innovative rating programs?
 

 a) Rate making

 

 b) Regulatory requirements

 

 c) Data mining

 

d) De-tariffing

 

Q9.Which method is also called as merit rating method?
 

 a) Class rating method

 

 b) Pure risk method

 

 c) Loss ratio method

 

 d) Individual rating method

 

Q10.Which type of premium rating method is used in Group Mediclaim and Group Personal accident policies?
 

 a) Retrospective rating method

 

 b) Prospective Experience rating method

 

 c) Schedule rating method

 

 d) Exposure rating method

Click Here for Answer Key