1.

Insurance Premium qualifies for deduction from taxable income under

(a) Section 80C

(b) Section 80D
(c) Section 10D
(d) Section10C

2. Insurance product is

(a) Risk Cover

(b) Investment option
(c) Combination of both
(d) None of the above

3. Insurance is a contract between

(a) Insurance Company and Agent

(b) Insurance Company and IRDA
(c) Insurance Company and Policyhoder
(d) None of the above

4. Savings accumulation means

(a) to provide for children’s higher education

(b) to provide for children’s marriage expenses
(c) Both
(d) None of the above

5. The level of risk is normally assured in terms of the

(a) frequency
(b) severity
(c) both
(d) none of the above

6. The premium that is charged by the insurance company should be sufficient to meet

(a) administrative and other expenses

(b) certain percentage of the profit
(c) both
(d) none of the above

7. Ajay does not consumes alcohol for a month to not detect during medical test is

(a) Concealment of a material fact

(b) Fraudulent misrepresentation
(c) Innocent misrepresentation
(d) None of the above

8. The schedule of the policy gives

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 (a) Date of commencement
(b) Maturity date
(c) Sum Assured
(d) All above

9. If Mr. Sarang nominates his 3 years Son as nominee but did not submit appointee
signature die after 3 years. He appoints his father as legal heir his wife becomes legal
guardian of the child. Who will receive policy money

(a) Sone
(b) Wife
(c) Father
(d) None of the above

10. Payable to Mr. Anand Shah, falling to Mr. Suresh Shgah, falling to Madhav Shah is
type of-------- nomination

(a) Legal
(b) Consideration
(c) Absolute
(d) Successive

11. In general insurance, insurable interest need to exist at the time of

(a) Inception
(b) Claim
(c) Both
(d) None of the above

12. An individual is said to be competent to enter into a contract if they are

(a) of the age of majority

(b) of sound mind
(c) not disqualified by law
(d) All above

13. If policyholder dies after policy lapsed, he is entitle to receive

(a) Sum Assured

(b) Surrender Value
(c) Paid up Value
(d) Guaranteed Surrender Value

14. The material facts are important because they help the insurance company’s underwriter
to decide

(a) Whether to accept the risk proposal or to reject it

(b) If the proposal is to be accepted, then at what price (Premium) it should be
accepted
(c) Both
(d) None of the above

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15. The……. Confirms that the insurers have authenticated the policy document by
signature

(a) Attestation
(b) Endorsement
(c) Schedule
(d) None of the above

16. Which of the following is a hazardous occupation

(a) Climbing poles

(b) Working in ferrous metallurgical industry
(c) Coal miner
(d) All of the above

17. which of following information does a proposal form contain

(a) Agents remarks

(b) Personal information
(c) Medical information
(d) All of the above

18. An underwriter is responsible for

(a) the classification of the risks presented to them

(b) analysis of the risks presented to them
(c) selection of the risks presented to them
(d) All of the above

19. Which is the most important source of preliminary information to the insurance
underwriter

(a) IT returns
(b) Medical Examiner’s report
(c) Proposal form signed by Agent
(d) Proposal form signed by the proposer

20. A… plan is useful when the life insured can’t initially afford to pay a higher premium

(a) Term insurance

(b) Convertible
(c) Double endowment
(d) Money back

21. The term master policy is used in…. insurance policies

(a) Annuity
(b) Unit Linked
(c) Group
(d) None of the above

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22. Under section… a deduction form taxable infome is allowed for the interest paid on an
education loan

(a) 80E
(b) 80D
(c) 80DD
(d) 80C

23. The issue of…. Is a vote of confidence from the management to its shareholders about
the good financial performance and future prospects of the company

(a) Dividend
(b) Bonus shares
(c) High interest
(d) All of the above

24. The main advantage of investing in mutual funds is

(a) Risk evasion

(b) Risk surpass
(c) Risk diversification
(d) Risk management

25. BSE satnds for

(a) Bombay Security Exchange

(b) Bombay Silver Exchange
(c) Bombay Stock Exchange
(d) None of the above

26. If the customer withdraws their money before the expiry of the lock in period, the
mutual fund deducts an… load and pays the balance amount

(a) Entry
(b) Capital
(c) Exit
(d) Risk

27. ……. Covers themselves, their spouse, children and parents

(a) Health Insurance

(b) Group Health Insurance
(c) Family Floater Health Insurance
(d) Money Back

28. What is no claim bonus

(a) A discount in the premium due next year

(b) Additional bonus added to policy
(c) No claim will be paid if bonus is paid

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 (d) None of the above

29. Which of the following diseases is not covered under the Cl rider

(a) Kidney failure

(b) Aorta Surgery
(c) Influenza
(d) Paraplegia

30. ….. pays the treatment consts for surgery involving the insured brain, heart, lungs, liver
etc.

(a) Guaranteed insurability rider

(b) Surgical care rider
(c) Hospital care rider
(d) Term rider

31. Where do you see yourself 10 years from now…. This question is

(a) Open ended

(b) Closed ended
(c) Based on purpose
(d) None of the above

32. Young unmarried with no dependants needs… low

(a) Protection
(b) Return
(c) Investment
(d) Surplus

33. Young unmarried with dependants needs to

(a) Protect individual at low

(b) Protect their income
(c) Needs life protection with future income
(d) Protect retirement life

34. The agent needs to ask plans ambitions of the client for

(a) Family
(b) Children’s education and marriage
(c) Changing homes in future
(d) All above

35. Benefit illustration documents, as per IRDA guidelines shows returns at

(a) 6% 8%
(b) 6% 9%
(c) 6% 10%
(d) 6% 11%

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36. The client decision to act differently from the agents recommendations may emerge at

(a) Presentation
(b) Filling proposal form
(c) Paying premium
(d) Undergoing medical

37. ……involves reminding the client of the needs that were agreed during the fact finding
process

(a) Checking the clients commitment to the needs

(b) Checking the clients commitment to the needs
(c) Acceptance or rejection of the recommendation
(d) Churning and product switching

38. Keeping policy inforce till maturity helps…… to achieve the ultimate goal

(a) Client
(b) Agent
(c) Insurance Company
(d) IRDA

39. The client is not satisfied with the recommended products. In this case,

(a) Agent can ask client to contact at future date

(b) Agent need to review the product
(c) Agent should ask to fill the proposal form
(d) Agent should ask client to pay premium

40. If death claim arises because of accident or suicide, then following report requires

(a) FIR
(b) Panchanama
(c) Post Mortem Report
(d) All above

41. If death claim arises within….. year from date of commencement or revival, insurance
company classifies it as an early death claim

(a) 1
(b) 2
(c) 3
(d) 4

42. ….is a demand that the insurer redeem the promise made in the contract

(a) Foreclosure
(b) Revival
(c) Claim

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 (d) Paid up

43. An insurer may refuse to pay the claim because

(a) The policy is not In force

(b) The claim is found to be fraudulent
(c) An exclusion condition applies
(d) All above

44. Section… of the IRDA Act 1999 specifies the composition of the IRDA

(A) 1
(B) 2
(C) 3
(D) 4

45. The life insurance council was constituted under section….. of the Insurance Act 1938

(a) 64A
(b) 64B
(c) 64C
(d) 64D

46. The institute of actuaries of India was formed in____

(a) 1943
(b) 1944
(c) 1945
(d) 1946

47. If the client wants to cancel the policy but the insurance company fails to do so, the
IRDA has stipulated….. working days to respond such complaints

(a) 5
(b) 10
(c) 15
(d) 20

48. Every insurance company will have to grievance redressal system……

(a) To address the complaints of clients

(b) To serve client
(c) To address the complaints of agent
(d) To address the complaints of reisurance

49. The danger of overselling insurance policies

(a) Difficult to collect premium

(b) Results into lapsation if client can not pay premium
(c) Difficult to manage the client’s accounts
(d) All of the above

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50. The higher the number of policy lapses, surrenders and returns of policies during the
…. The higher will be the doubts raised about the ethical practices followed by an
insurance company and its agents

(a) Policy term

(b) One year from issue of policy
(c) Proposal stage
(d) Free look in period

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