IC56 FIRE INSURANCE CLAIMS – 12

Q1.Therefore, in respect of buildings, indemnity is provided on the basis of the cost of ___ of the building, and this cost is determined with reference to the cost of labor and materials at the time and place of the loss plus other professional and incidental charges.
 

 a) Causes of deterioration

 

 b) Reinstatement or reconstruction

 

 c) Maintenance of the building

 

 d) Partial loss an a building

 

Q2._____, in simple terms, means the legal right to insure.
 

 a) Warranty

 

 b) Insurable Interest

 

 c) Consideration

 

 d) Regulation

 

Q 3. According to Condition 8, all benefits under the policy shall be forfeited in which of the following circumstances?
 

 a) The claim is fraudulent

 

 b) The claim is supported by a false declaration

 

c) Fraudulent means are used by the insured or anyone acting on his behalf

 

 d) All of the above

 

Q4.Who needs to submit an interim report, if the entire investigation will take time. Basis interim report,on-account payment can be recommended, if requested by the insured?
 

 a) Agent

 

 b) Surveyor

 

 c) Principal

 

 d) Commissioner

 

Q5.____ is to ascertain and apply the intention of the parties as expressed in the contract, for the contract is the final form in which the original intentions of the parties have been incorporated.
 

 a) Rules of construction

 

 b) Object of construction

 

 c) Regulations of construction

 

 d) Condition of construction

 

Q6.Which of the following is applicable to policies in respect of Buildings, Plant, Machinery, and Accessories only, acts as a cushion against the inflationary trends, and can be incorporated in the policies on payment of additional premium?
 

 a) Pro-rata average

 

 b) Depreciation

 

 c) Contribution

 

 d) Escalation clause

 

Q7.Which of the following comes under Furniture, Fixture, and Fittings?
 

 a) Counters, Showcases

 

 b) Furniture,tables,chairs,desks, cabinets, safes

 

c) Typewriters, adding, calculating, and other business machines

 

 d) All of the above

 

Q8.The insured’s fundamental duty is to observe ___ towards insurers at the time of declaring information to take insurance, when an insured peril operates, as also during the currency of the policy.
 

 a) Common law

 

 b) Content

 

 c) Good faith

 

 d) Misbehaviour

 

Q9.On receipt of claim intimation, the first step for insurers is to verify that
 

 a) The policy is in force

 

 b) Section 64 VB of the Insurance Act is complied with

 

 c) The perils covered under the policy are the same as the perils under which the loss is reported

 

 d) All of the above

 

Q10.Under the principle of Contribution, Calculate the Claim payable by each Policy of Total Claim admissible?
 

 a) X =Rs.2,500 , Y = Rs.2,000, Total = Rs.4,500

 

 b) X =Rs.3,500 , Y = Rs.1,000, Total = Rs.4,500

 

 c) X =Rs.1,500 , Y = Rs.3,000, Total = Rs.4,500

 

 d) X =Rs.1,000 , Y = Rs.3,500, Total = Rs.4,500

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