Insurance MCQ Questions and Solutions with Explanations | Commerce

Bajaj Allianz is a private sector general insurance company in India. Bajaj Allianz General Insurance Company has become one of the top general insurance brands in India. It is the only general insurance company in India to cross the Rs. 100 Crore mark in profit in the last two years.

An actuary, in Insurance terms, is a professional expert in Insurance mathematics and uses their knowledge to calculate premium rates, dividends, company reserves, and other statistics.

In the case of a policy under the provision of M.W.P. ACT, Beneficiary can make the death claim. A policy covered under the MWP Act will give a clear title to the beneficiary.

Whole life policies are not entitled for bonuses. Not all life insurance policies are entitled to receive the bonus amount. Only participating (with-profit) policies qualify for the bonus and the policyholders holding a participating life insurance policy will only qualify for the bonus payout.

Life insurers cannot reject claims made on policies that are over three years old. Life insurance companies must compulsorily pay all claims made three years after the date of commencement of a policy, according to a recent clarification issued by the sector regulator. No exceptions allowed. If there is fraud, mis-statement or non-disclosure by the policyholder, the insurance company may discover and act on it within the three-year deadline. After that, the policy cannot be called into question.

If a policyholder decides to terminate the policy before maturity, the amount which the insurance company will pay to the policyholder is known as surrender value.

A person employed to act on behalf of another in dealing with a third person is called Agent. An agent is a person employed to do any act for another, or to represent another in dealings with third persons.

Insurance Agent is governed by Insurance Act. Insurance agents act as the final connecting link between the insurance company and the individual investor as arepresentative of theinsurer.

Term insurance plan has the least or no amount of savings element. Term insurance does not have a savings element associated with it.

Human Life cannot be termed as an asset. People are not assets like tangible fixed assets such as equipment. People cannot be owned. People do not depreciate. If they are assets, people are intangible assets.