Insurance mcqs

✅ The correct answer is C.
A composite insurance agent means an individual who is appointed as an insurance agent by two or more insurers, subject to the condition that he/she shall not act as insurance agent for more than one life insurer, one general insurer, one health insurer and one of each of the mono-line insurers.

✅ The correct answer is D.
IRDA has implemented guidelines on persistency from 1st July, 2014.

✅ The correct answer is C.
Judgement and numerical are the two methods of underwriting. In the judgement 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.
Occupational pension scheme is a scheme set up by an employer to provide retirement benefits for its employees. Uninsured pension scheme and Insured Pension scheme are Type of Occupational pension scheme.

✅ The correct answer is C.
Mortality is related to age and hence, young people who are less likely to die are charged lower premiums as compared to old people.

✅ The correct answer is B.
When an applicant is seeking license for the first time, he / she is supposed to undergo 50 hours of practical training (from an approved institution) in life insurance.

✅ The correct answer is A.
‘clause’ under a life insurance policy means risk not covered.

✅ The correct answer is D.
After a Waiting period Pre-existing illnesses could be covered. Pre-existing diseases are those that exist at the time of taking a policy and are excluded from the cover during an initial waiting period.

✅ The correct answer is B.
Minor is not eligible to enter into a life insurance contract. However, although a minor child has insurable interest in the life of his/her earning parents, but children can’t take insurance for parents because, as a minor, a child can’t enter into a contract.

✅ The correct answer is B.
“Liquidation period” refer to period during which the insurer makes annuity payments.