Insurance mcqs

✅ The correct answer is D.
Prathama Bank is the first Regional Rural Bank of India, established on 2nd October, 1975, sponsored by Syndicate Bank, with its Head Office at Moradabad in accordance with Regional Rural Bank Ordinance 1975 issued on 26th September, 1975 (Replaced later by Regional Rural Bank Act, 1976(2) of 1976 of Government of India).

✅ The correct answer is C.
A family floater health insurance plan is an insurance plan that is tailor-made for families. It is quite similar to the individual health plan with an add-on benefit of providing health coverage for the entire family.

✅ The correct answer is D.
Universal life insurance policy provides for partial withdrawals. This partial withdrawal was made from the policy’s Cash value. Cash value may also be used to pay policy premiums. If there is sufficient cash value, a policyholder can stop paying premiums out-of-pocket and have the cash value account cover the payment.

✅ The correct answer is D.
Foreclosure is the legal process by which a lender takes control of a property, evicts the homeowner and sells the home after a homeowner is unable to make full principal and interest payments on his or her mortgage, as stipulated in the mortgage contract.

✅ The correct answer is A.
Air is not an asset among the other given options.

✅ The correct answer is A.
Personal Accident is not a contract of indemnity. Type of insurance cover (such as property insurance, but not personal accident insurance) that only restores the insured to his or her original financial position. The insured cannot gain from a contract of indemnity.

✅ The correct answer is B.
All of the following are elements of a valid contract, except Capacity to pay premiums. It is calculated as the total value of all claims paid by the company divided by the total amount of premium collected in a financial year.

✅ The correct answer is D.
Reversionary bonus is the bonus declared every year as a percentage of (Guaranteed Maturity Benefit/Sum Assured + Earlier Reversionary Bonuses). It is payable on death of the life assured or maturity of the policy.

✅ The correct answer is B.
Contingency products typically address against uncertainties. A contingency is a potential negative event that may occur in the future, such as an economic recession, natural disaster, fraudulent activity or a terrorist attack.

✅ The correct answer is B.
An investor holds a wide range of shares. If the Reserve Bank of India announces a series of significant interest rate increases, the prices of these shares are most likely to decrease.