Member: Guest Exam Type: Demo Max Mack: 25 Duration: 30 Min Pass Mack: 12 (21) As regards the subject matter, the Principle of Good Faith requires 8) The amount of premium payment ) Parties to be of the same mind (Your answer i corect ©) The obligations ofthe paley holder @)Thensture ofthe babilty Q2) Which of the following terms matches closest with Asbestosis? a) Products b) Pension ¢) © Rough Weather tvour Answer is Wrong] 4) Workmen's Compensation [This is the Right Answer] 8) Insurance Ombudsman can settle the dispute where amount involved Is less than. lakh, 2) © 10 lakh rYour Answer ronal b) 18 lakhs: ©) 20 lakhs mise te Right Answer) ) 28 lakhs: @4) Regarding ‘Exclusions’, find out the incorrect statement. a) © Exclusions are indicated in the policy [Your Answers Wrong] ») Exclusions are perils or circumstances not covered ©) Exclusions limit the coverage under the policy d) Exclusions do not deal with risk coverage [This is tne Rignt Answer Q5) An actuary is expected to: a) Make an exact forecast of the future llablities of policies b) © Make a reasonable forecast of the future liabilities of policies [Your answer's correct ©) Calculate the premium required to cover a risk on a long-term basis 4) Find the probability of an insured event to happen in non-life policies6) Which of the following statements is True about Pool arrangement? a) Only Expenses are shared by the members ofthe pool b) © Expenses and Profits are shared by the members of the pool tvour answer is correct ©) Neither Expenses nor Profits are shared but common rules are set amongst Insurers d) Only profits are shared by the members of the poo! Q7) GA as used in insurance a) General Assurance b) General Average [mis is the Right answer] c) General Adjustment d) © Guaranteed Assurance [Your answers wrong] Q8) Which of the following statements describes Retrocession? a) © The insurance deal is cancelled prematurely rvour Answer is Wrong] b) The reinsurer himsetf reinsures with another insurer or reinsurer [Tiss the Right Answer] ¢) The insured takes a break trom paying the premiums 4d) The Insurer pays the claim to the Insured 9) Which of the following terms is dissimilar to the other four options? (Find the odd-man out?) 2) Jetison Your Anewer ie vrong] bb) Hit and Run ms is me right answer ‘¢) Sue and Labour 9) Salvage India? 210) Which of the following intermediaries do not require IRDA’s licencel approval to operate 4) Insurance Brokers b)* Insurance Agents (Your Answaris Wren ©) Take Party Administrators 4) _Allthe above intermediaries require IRDA’s licence! approval (mise the Right Anewer11) Which of the following statements is incorrect in respect of brokers? @) Brokers require to undergo training before being licensed b} © Brokers are appointed by insured to take care of their interests {Your answer is Wrong] c) Brokers have to pass examinations before being licensed d) Brokers should be registered companies or firms [This 1s the Right Answer Q12) CTL as used in insurance a) Contributory Total Loss b) © Constructive Total Loss rvour answeris correct] ©) Coinsurer’s Tally of Loss d) Contractors’ Total Loss 13) What is the objective of principle of Subrogation? ‘) Allowing Insurers to succed to the rights and remedies of the Insured [7ms'sthe Right Answed ») © Preventing the insured to recover more than his loss [Your Answers Wrong] ¢) Providing each Insurer to pay only his proportionate share of loss 46) Ensuring that the Insured cannot recover his loss from all the Insurers he has insured with Q14) The main purpose of having Life insurance is: a) As an avenue for long-term investment b) As amedium for getting income tax benefits from savings ©) Asa governmental programme for reducing poverty d) © None of the above [your answer is correct] ‘@15) Which of the following terms is dissimilar to the other four options? (Find the odd-man out?) 8) Postshospitaisation expenses b) Expenses on treatment of pre-existing diseases ¢). Reinstatement value (Tis te Right Answer 4d) * Funeral expenses tvour Answer ts Wrong]