Insurance MCQ Questions and Solutions with Explanations

Insurance MCQ Questions and Solutions with Explanations | Commerce

Insurance MCQ Questions and answers with easy and logical explanations. Commerce provides you all type of quantitative and competitive aptitude mcq questions with easy and logical explanations. Insurance MCQ is important for exams like B.COM, M.COM, BBA, BBM, CA, CS, CMA, CPA, CFA, UPSC, NET, Banking and other commerce department exam. Page-6 section-9

Which of the following information is not contained in a Medical Examiner’s Report?

A) Previous policy particulars B) Height, weight, BP of the proponent C) Both A & B D) None of the above

Discuss

Answer & Solution

Answer: Option A

Solution:

Previous policy particulars information is not contained in a Medical Examiner’s Report.

When medical report of the life insured is essential?

A) Sum proposed or age is high B) Medical characteristics of the proposer C) Both A & B D) None of the above

Discuss

Answer & Solution

Answer: Option C

Solution:

The medical report of the life insured is essential Sum proposed or age is high or Medical characteristics of the proposer.

What does moral hazard indicate?

A) The possibility that client would undertake dangerous expeditions after taking a policy B) The possibility of ending own life or the life of another C) Both the above instances D) None of the three

Discuss

Answer & Solution

Answer: Option C

Solution:

Moral hazard indicates that the possibility that client would undertake dangerous expeditions after taking a policy and the possibility of ending own life or the life of another.

Moral Hazard Report is completed by _________

A) Official of the Company B) Agent C) Medical Examiner D) Proposer

Discuss

Answer & Solution

Answer: Option A

Solution:

Moral Hazard Report is completed by official of the Company.

To ascertain which of the following Age proof is not required:

A) Assessment of Risk profile B) Premium paying capacity C) Fixing the premium D) All of the above

Discuss

Answer & Solution

Answer: Option B

Solution:

To ascertain Premium paying capacity Age proof is not required.

Which is a not a standard age proof?

A) PAN card B) Baptism Certificate C) Service Register D) Ration card

Discuss

Answer & Solution

Answer: Option D

Solution:

Ration card is a not a standard age proof. For the age proof, Aadhar Card, as it's value has been increased, it can easily be used as an age proof in India. Aadhar, PAN, passport, Driving license issued by Govt. of India, SSC certificate, college/school leaving certificate, birth certificate, probably domicile certificate and nationality certificate as well.

Which is a standard age proof?

A) Horoscope B) Ration card C) PAN card D) Self declaration

Discuss

Answer & Solution

Answer: Option C

Solution:

PAN card is a standard age proof among the following. For the age proof, Aadhar Card, as it's value has been increased, it can easily be used as an age proof in India. Aadhar, PAN, passport, Driving license issued by Govt. of India, SSC certificate, college/school leaving certificate, birth certificate, probably domicile certificate and nationality certificate as well.

As per PML Act, 2002, which came into effect from 2005, money laundering is punishable by

A) Rigorous imprisonment for 3 - 7 years B) Fine of Rs.5 lakhs C) Both A & B D) None of the above

Discuss

Answer & Solution

Answer: Option C

Solution:

As per PML Act, 2002, which came into effect from 2005, money laundering is punishable by Rigorous imprisonment for 3 - 7 years and Fine of Rs.5 lakhs.

What are the KYC documents?

A) Photo B) Address proof C) Proof of Identify D) All of the above

Discuss

Answer & Solution

Answer: Option D

Solution:

Photo, Address proof and Proof of Identify are the KYC documents.

Objective of KYC guidelines is to prevent –

A) Identity theft B) Financial fraud C) Money laundering D) All of the above

Discuss

Answer & Solution

Answer: Option D

Solution:

The objective of KYC guidelines is to prevent banks from being used, intentionally or unintentionally, by criminal elements for money laundering activities.