Author name: Administrator

1393. In respect of Bonuses, which of the following is incorrect?

Bonuses once declared, get attached to the policy and can’t be taken away
Bonuses form part of liability of a company
Premiums need not have been paid for a specified no. of years
All of the above
✅ The correct answer is C.
In respect of Bonuses, Premiums need to be paid for a specified no. of years.

1395. Life insurance companies may offer rebate to the buyer on the premium that is payable on the basis of _________.

Sum assured chosen by the buyer
Type of policy chosen by the buyer
Term of the plan chosen by the buyer
Mode of payment (cash, cheque, card) chosen by the buyer
✅ The correct answer is A.
Life insurance companies may offer rebate to the buyer on the premium that is payable on the basis of sum assured chosen by the buyer. They are in most cases the same throughout the term and are expressed as an annual rate. The rebate for sum assured is offered to those who buy policies with higher amounts of sum assured. Rebate for mode of premium: Premiums can be on annual, half yearly, quarterly or monthly basis.

1396. A retirement plans funded for workers by corporations, administered and commercial banks are classified as

retirement funds
pension funds
future funds
workers funds
✅ The correct answer is B.
A retirement plans funded for workers by corporations, administered and commercial banks are classified as pension funds. Pension funds are pooled monetary contributions from pension plans set up by employers, unions, or other organizations to provide for their employees’ or members’ retirement benefits.

1377. If a person does not prefer any claim in an health insurance –

Cover would cease and policy cancelled
Cover would be subject to certain exclusions
Cover would decrease
No claim Bonus allowed for claim-free years
✅ The correct answer is D.
If a person does not prefer any claim in an health insurance than no claim Bonus is allowed for claim-free years.

1381. In the co-operative organization, the voting rights of members are __________.

in proportion to the capital paid by each member
equal, irrespective of amount of capital contribution
in proportion to the nominal value of capital held by each member
in proportion to the total finance supplied including the amount of loan by each member
✅ The correct answer is B.
In the co-operative organization, the voting rights of members are equal, irrespective of amount of capital contribution.
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