Question 1

General insurance policies are generally taken for&#10;A)One year&#10;B)two year&#10;C)three year&#10;D)none of these

Accepted Answer

General insurance policies, such as auto, home, and health insurance, are typically issued for a period of one year, after which they can be renewed.

Question 2

When a policy matures on the death of the insured , it is expressed as:&#10;A)With profit policy&#10;B)without profit policy&#10;C)whole life policy&#10;D)None of these

Accepted Answer

A whole life policy matures upon the death of the insured, meaning the death benefit is paid out to the beneficiaries at that time.

Question 3

In the revenue account bonus in reduction of premium is shown as&#10;A)Liability&#10;B)Income&#10;C)Expense&#10;D)None of these

Accepted Answer

Expense&#10;

Question 4

The fixed assets of an insurance company are shown in&#10;A)Schedule 6&#10;B)Schedule 7&#10;C)Schedule 8&#10;D)None of these

Accepted Answer

The answer of The fixed assets of an insurance company...

Question 5

Insurance Regulations and Development Authorities Act came to effect in :&#10;A)1938&#10;B)1999&#10;C)2000&#10;D)None of these

Accepted Answer

The Insurance Regulatory and Development Authority Act (IRDA Act) came into effect in 1999, establishing the Insurance Regulatory and Development Authority of India (IRDAI) to regulate, promote, and ensure orderly growth of the insurance and re-insurance industries in India.

Question 6

Which of the following of an insurance company does not fall under ' Income from investments'.&#10;A)Interest and dividend&#10;B)Profit on sale of investments&#10;C)Share transfer fees&#10;D)None of these

Accepted Answer

Share transfer fees are not considered income from investments for an insurance company. Income from investments typically includes interest, dividends, and profits from the sale of investments, not operational fees like share transfer fees.

Question 7

Which of the following of an insurance company is included in other asset&#10;A)Loan to director&#10;B)Agent's balance(dr)&#10;C)Advance tax paid&#10;D)None of these

Accepted Answer

The answer of Which of the following of an insurance...

Question 8

Reserve for unexpired risk is shown under :&#10;A)Reserves and surplu&#10;B)Current liabilities&#10;C)Provisions&#10;D)None of these

Accepted Answer

Reserve for unexpired risk is classified under "Provisions" as it represents a future obligation or anticipated expense that the insurance company must cover for risks that have not yet expired.

Question 9

In life insurance business , claims may arise on &#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;.&#10;A)death&#10;B)maturity&#10;C)death or maturity&#10;D)none of these

Accepted Answer

Claims in life insurance can arise on the event of the policyholder's death or when the policy reaches its maturity date, depending on the terms of the policy.

Question 10

Surrender value is an expression that is used in case of &#8230;&#8230;&#8230;&#8230;&#8230;&#8230;. Insurance business .&#10;A)Life&#10;B)Marine&#10;C)Fire&#10;D)None of these

Accepted Answer

Surrender value is a term commonly used in life insurance to refer to the amount the policyholder will get from the insurance company if they decide to terminate the policy before it matures or the insured event occurs.

Question 11

&#8230;&#8230;&#8230;&#8230;&#8230;.. reserve is created to meet any loss due to natural calamity&#10;A)General reserve&#10;B)Special reserve&#10;C)Catastrophe reserve&#10;D)None of these

Accepted Answer

The answer of &#8230;&#8230;&#8230;&#8230;&#8230;.. reserve is created to meet any...

Question 12

Life insurance is contract of &#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;.&#10;A)Guarantee&#10;B)Indemnity&#10;C)Profit&#10;D)None of these

Accepted Answer

The answer of Life insurance is contract of &#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;.&#10;A)Guarantee&#10;B)Indemnity&#10;C)Profit&#10;D)None of...

Question 13

General insurance is a contract of &#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#10;A)Guarantee&#10;B)Indemnity&#10;C)Profit&#10;D)None of these

Accepted Answer

The answer of General insurance is a contract of &#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#10;A)Guarantee&#10;B)Indemnity&#10;C)Profit&#10;D)None...

Question 14

Double insurance is common in &#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;. Insurance.&#10;A)Life&#10;B)Fire&#10;C)Marine&#10;D)None of these

Accepted Answer

The answer of Double insurance is common in &#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;. Insurance.&#10;A)Life&#10;B)Fire&#10;C)Marine&#10;D)None...

Question 15

Re insurance is generally found in &#8230;&#8230;&#8230;&#8230;&#8230;&#8230;. Insurance&#10;A)Fire&#10;B)Marine&#10;C)Life&#10;D)None of these

Accepted Answer

The answer of Re insurance is generally found in &#8230;&#8230;&#8230;&#8230;&#8230;&#8230;....

Question 16

Commission of an insurance company is shown in schedule&#10;A)2&#10;B)3&#10;C)4&#10;D)None of these

Accepted Answer

The answer of Commission of an insurance company is shown...

Question 17

To ascertain profit in life insurance business &#8230;&#8230;&#8230;&#8230;&#8230;&#8230;. Prepared.&#10;A)Revenue account&#10;B)Profit and Loss account&#10;C)Valuation balance sheet&#10;D)None of these

Accepted Answer

The answer of To ascertain profit in life insurance business...

Question 18

&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;.. of an insurance company are shown in schedule 9.&#10;A)Loan&#10;B)Fixed asset&#10;C)cash & bank balance&#10;D)None of these

Accepted Answer

The answer of &#8230;&#8230;&#8230;&#8230;&#8230;&#8230;.. of an insurance company are shown...

Question 19

The agreement of insurance is called as&#8230;&#8230;&#8230;&#10;A)Policy&#10;B)Premium&#10;C)Annuity&#10;D)None of these

Accepted Answer

The answer of The agreement of insurance is called as&#8230;&#8230;&#8230;&#10;A)Policy&#10;B)Premium&#10;C)Annuity&#10;D)None...

Question 20

The consideration in insurance for covering the risk is called&#8230;&#8230;&#8230;&#8230;.&#10;A)Claim&#10;B)Premium&#10;C)Annuity&#10;D)None of these

Accepted Answer

The answer of The consideration in insurance for covering the...

Question 21

&#8230;&#8230;&#8230;&#8230;&#8230;. Is the party who undertakes the risk in insurance&#10;A)Insurer&#10;B)Assurer&#10;C)Underwriter&#10;D)All of these

Accepted Answer

The answer of &#8230;&#8230;&#8230;&#8230;&#8230;. Is the party who undertakes the...

Question 22

The party whose risk is covered in insurance is known as&#10;A)Insurer&#10;B)Insured&#10;C)Underwriter&#10;D)None of these

Accepted Answer

The answer of The party whose risk is covered in...

Question 23

In &#8230;&#8230;&#8230;&#8230;. The insurer agrees to pay a certain sum of money to the Policyholder either on his death or a certain age, whichever is less.&#10;A)Fire insurance&#10;B)Marine insurance&#10;C)Burglary insurance&#10;D)Life insurance

Accepted Answer

The answer of In &#8230;&#8230;&#8230;&#8230;. The insurer agrees to pay...

Question 24

General insurance includes &#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;..&#10;A)Fire insurance&#10;B)Marine insurance&#10;C)Burglary insurance&#10;D)All of these

Accepted Answer

The answer of General insurance includes &#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;&#8230;..&#10;A)Fire insurance&#10;B)Marine insurance&#10;C)Burglary insurance&#10;D)All...

Deck 1: Insurance Terminology and Policies