Administrator

2801. What is a policy withdrawal?

by
Discontinuation of premium payment by policyholder
Surrender of policy in return for acquired surrender value
Policy upgrade
Policy downgrade
✅ The correct answer is B.
Policy withdrawal is Surrender of policy in return for acquired surrender value. In case of life insurance, if you surrender a policy before the completion of its full term, you could get back a portion of the money you paid as premium, after deducting charges. This money is surrender value.

2803. Probability distribution is classified as normal if expected return lies between

by
( + 1 and -1)
( + 2 and -2)
( + 3 and -3)
( + 4 and -4)
✅ The correct answer is A.
Probability distribution is classified as normal if expected return lies between ( + 1 and -1). A probability distribution is a statistical function that describes all the possible values and likelihoods that a random variable can take within a given range.

2804. Costing and allocating situation, in which indirect cost allocated amount is less than actually incurred amount is known as

by
over allocated budget
under allocated budget
under allocated indirect cost
over allocated direct cost
✅ The correct answer is C.
Costing and allocating situation, in which indirect cost allocated amount is less than actually incurred amount is known as under allocated indirect cost. Overhead allocation is the apportionment of indirect costs to produced goods.

2805. When critical illness rider benefit is payable?

by
When the life insured dies of a critical illness
When the insured is diagnosed with critical illness
When the life insured is diagnosed with a illness not covered under the policy
When the life insured assigns his critical illness rider benefit also in favour of assignee
✅ The correct answer is B.
A critical illness rider makes living benefits payable to the insured for medical expenses prior to death.Generally, the extra cover is equal to the sum assured on the base policy and is paid upon diagnosis of the illness.

2814. Based on classification of claims (early or non-early), pick the odd one out?

by
Ramya dies after 6 months of buying a term insurance plan
Manoj dies after one and half years of buying a term insurance plan
David dies after two and half years of buying a term insurance plan
Pravin dies after five and half years of buying a term insurance plan
✅ The correct answer is D.
Pravin dies after five and half years of buying a term insurance plan, is the odd one among all. In other three cases death occurs within 3 years.