Insurance MCQ Questions and Solutions with Explanations | Commerce

A. Prospecting is building a list of persons who can be approached for life insurance

B. Marketing includes an exercise to meet the account holders of a bank

C. Meeting known and familiar people who can give an agent interview for life insurance purposes is useful

D. All of the above

A. More surplus

B. Less surplus

C. More or less surplus

D. New business strain

A. Income

B. Occupation

C. Lifestyle/habits

D. All of the above

A. At the time of taking out insurance

B. At the time of claim

C. Insurable interest is not required in case of life insurance

D. Either at time of policy purchase or at the time of claim

A. Extra benefits are allowed by the insurer in a life policy on payment of an extra premium

B. Double accident benefit is a free item in a life policy

C. Permanent Disability, like DAB, is also a free benefit and not chargeable

D. Extra premium for health and extra premium for extra benefits are identical

A. Death benefit amount decreases with term of coverage

B. Premium amount decreases with term of coverage

C. Premium remains leveled throughout the term

D. Mortgage redemption plans are an example of decreasing term assurance plans

A. Convertible Endowment

B. Convertible Money Back

C. Convertible ULIP

D. Convertible Whole Life

A. The benefits shall be stated at the outset

B. The benefits shall be linked to some index

C. The additional benefit under these policies shall be laid out at the outset

D. The return shall be stated at the beginning of the contract itself

A. Traditional cash value plans

B. Non-traditional plans

C. Both A & B

D. None of the above

A. Per thousand premium paid

B. Per thousand surplus of the company

C. Per hundred premium paid

D. Per thousand sum insured