ExamVeda
Login
Home

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-9 section-2

Each section contains 100 MCQs on Insurance .
81
An alternative to bonus method of distribution of surplus is
Discuss
Answer & Solution
Answer: Option B
Solution:
An alternative to bonus method of distribution of surplus is Contribution method. Contribution method is a method of apportioning loss among multiple insurers.
82
An agent can work on which of the following bases for successful results?
Discuss
Answer & Solution
Answer: Option D
Solution:
All of the above will help an agent to get successful results. An agent can work on which of the following bases for successful results: Natural market is a source of market for a life insurance agent. A satisfied client can be an effective referral to an agent for further references. Family and friends can offer an easy opportunity for being contacted for life insurance selling.
83
_________ is reflected in the caring attitude and individualized attention given to customers.
Discuss
Answer & Solution
Answer: Option B
Solution:
Empathy is reflected in the caring attitude and individualized attention given to customers. Empathy is, at its simplest, awareness of the feelings and emotions of other people.
84
Which principle means flow of resources from many to one?
Discuss
Answer & Solution
Answer: Option A
Solution:
Mutuality or pooling principle means flow of resources from many to one. Mutuality is the principle of private, commercial insurance; individuals enter the pool for sharing losses, and pay according to the best estimate of the risk they bring with them.
85
Which of the following are not a wealth accumulation product?
Discuss
Answer & Solution
Answer: Option B
Solution:
Insurance are not a wealth accumulation product. Planning to accumulate wealth enables you to work effectively toward your goals.
86
An insurance company needs assets for
Discuss
Answer & Solution
Answer: Option D
Solution:
An insurance company needs assets for financing a new business for generating more competitive returns and for greater leverage in investment.
87
AML programme of an insurance company includes
Discuss
Answer & Solution
Answer: Option D
Solution:
AML programme of an insurance company includes Internal policies and controls, Appointment of a Principal Compliance Officer and Internal audit/control.
88
License to work as an insurance agent is issued by
Discuss
Answer & Solution
Answer: Option B
Solution:
License to work as an insurance agent is issued by Insurance Regulatory and Development Authority (IRDA). Licence to work as an insurance agent is issued by the IRDA. Agent‟s licence is to be renewed every three years. Rs. 250 is the fees payable to the Authority for issue/ renewal of licence to act as an insurance agent or composite insurance agent.
89
As per IRDA (Protection of Policyholder’s Interest) Regulations, 2002, a claim under a life policy shall be paid or be disputed within
Discuss
Answer & Solution
Answer: Option C
Solution:
As per IRDA (Protection of Policyholder's Interest) Regulations, 2002, a claim under a life policy shall be paid or be disputed within 30 days from the date of receipt of all relevant papers and clarifications required.
90
Mahesh ran a business on borrowed capital. After his sudden demise, all the creditors are doing their best to go after Mahesh’s assets. Which of the below assets is beyond the reach of the creditors?
Discuss
Answer & Solution
Answer: Option C
Solution:
The term life insurance policy purchased under Section 6 of the MWP Act cannot be taken by the creditors.