Insurance mcqs

✅ The correct answer is C.
Central Bank of India is the first Indian Commercial Bank that was fully owned and managed by Indians.

✅ The correct answer is B.
Satisfactory evidence of insurability would mean satisfactory evidence of health. Proof of good health, also known as evidence of insurability (EOI), is an application process in which you provide information on the condition of your health or your dependent’s health to get certain types of insurance coverage.

✅ The correct answer is B.
As per the Indian Contract Act, 1972, life insurance contract is a legally enforceable contract between the insurer and the insured.

✅ The correct answer is B.
Insurance is not gambling because of the presence of Insurable interest. Without an insurable interest, it would be wagering, contract. Thus, this principle clearly distinguishes the insurance contract from the gambling.

✅ The correct answer is D.
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.

✅ The correct answer is C.
Insurance contract can be declared void in both Innocent misrepresentation and fraudulent misrepresentation. Innocent misrepresentation is a misrepresentation made by someone who had reasonable grounds for believing that his false statement was true. Fraudulent misrepresentation is a civil tort arising out of contract law. It is a false statement of fact that causes or induces someone to enter into a contract.

✅ The correct answer is C.
A copayment or copay is a fixed amount for a covered service, paid by a patient to the insurance company before patient receives service from physician.

✅ The correct answer is C.
Risk transfer through risk pooling is called insurance. Loss prevention measures reduce the chance of occurrence of risk.

✅ The correct answer is C.
Instalment revival can be availed when policyholder is unable to pay full arrears of premium in lumpsum and when the policy could not be revived under special revival scheme.

✅ The correct answer is D.
In a Unit Linked Plan (ULIP), the premiums you pay are invested in the funds chosen by you after deducting allocation charges and charges including those for managing funds, policy administration and for providing insurance cover are deducted from the funds by cancelling certain units. Charges are deducted.