Insurance mcqs

✅ The correct answer is C.
When high sum insured is proposed and when age is advanced special reports would be necessary.

✅ The correct answer is C.
Standalone companies are specifically barred from covering rural masses. Standalone companies are involved in government schemes to provide insurance to rural masses.

✅ The correct answer is B.
In non-traditional plans, protection and saving elements were separated.

✅ The correct answer is B.
In traditional cash value policies, the policy reserve form part of a General investment account. When an insurance company underwrites a new policy, it is paid a premium by the policyholder. These premiums are deposited into the insurer’s general account.

✅ The correct answer is D.
Judgmental method of underwriting is suitable while deciding a complex case, e.g. whether to give insurance to someone who has acute diabetes. Under this method, subjective judgment is used, often relying on the expert opinion of a medical professional known as the medical referee, especially when the deciding case is complex.

✅ The correct answer is C.
Judgement & Numerical are the 2 methods of underwriting.
Judgement Method: Under this methods, subjective judgement is used.
Numerical Method: Under this method underwriting assign positive rating points for all negative or adverse factors.

✅ The correct answer is C.
Repudiation of death claim means rejection of a claim. A repudiated claim is a claim that has been rejected by an insurance company.

✅ The correct answer is D.
Insurance works on the principle of Trust, Sharing and Randomness.

✅ The correct answer is B.
If a policyholder decides to terminate the policy before maturity, the amount which the insurance company will pay to the policyholder is known as surrender value.

✅ The correct answer is D.
All of the above is the right time for taking life insurance.