MCQOPTIONS
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MCQOPTIONS
This section includes 657 Mcqs, each offering curated multiple-choice questions to sharpen your Testing Subject knowledge and support exam preparation. Choose a topic below to get started.
| 1. |
The ________ is the party who gets his life or propertyinsured against risks. |
| A. | Insured |
| B. | Insurer |
| C. | Assurer |
| D. | None |
| Answer» B. Insurer | |
| 2. |
________ is also known as all risk policy |
| A. | Comprehensive policy |
| B. | Excess policy |
| C. | Floating policy |
| D. | Adjustable policy |
| Answer» B. Excess policy | |
| 3. |
________ policy is taken to cover different risks for a single shipment. |
| A. | Blanket |
| B. | Named |
| C. | Specific cover |
| D. | Block |
| Answer» D. Block | |
| 4. |
The IRDA was set up in |
| A. | 1919 |
| B. | 1991 |
| C. | 2001 |
| D. | 2000 |
| Answer» E. | |
| 5. |
_________ is known as Rashtriya Krishi Bima Yojana |
| A. | Crop insurance |
| B. | Hut Insurance |
| C. | PropertyInsurance |
| D. | None |
| Answer» B. Hut Insurance | |
| 6. |
The first insurance contract was entered into by European maritime nationsin 1347 to accept ……..insurance as a practice. |
| A. | life |
| B. | vehicle |
| C. | marine |
| D. | fire |
| Answer» D. fire | |
| 7. |
Employee's State Insurance Corporation was established in ________ |
| A. | 1968 |
| B. | 1958 |
| C. | 1948 |
| D. | 1988 |
| Answer» D. 1988 | |
| 8. |
Insurance cannot prevent the occurrence of risk but it provides for the……… |
| A. | losses of risk |
| B. | occurrence of risk |
| C. | chance of risk |
| D. | none of these |
| Answer» B. occurrence of risk | |
| 9. |
When the same risk and subject matter is insured with more than one insurer is known as |
| A. | Reinsurance |
| B. | Double Insurance |
| C. | Under Insurance |
| D. | Over Insurance |
| Answer» C. Under Insurance | |
| 10. |
Fidelity Guarantee Policies cover losses due to fraud by ____________ |
| A. | Employees |
| B. | Customers |
| C. | Borrowers |
| D. | Suppliers |
| Answer» B. Customers | |
| 11. |
Risk is evaluated on the basis of ________ theory |
| A. | Variability |
| B. | Contingency |
| C. | Probability |
| D. | All |
| Answer» D. All | |
| 12. |
……… may be described as a social device to reduce or eliminate risk of lossto life and property. |
| A. | investment |
| B. | saving |
| C. | insurance |
| D. | loan |
| Answer» D. loan | |
| 13. |
An insurance policy will be only if ________ is paid |
| A. | Policy |
| B. | Premium |
| C. | Document |
| D. | None |
| Answer» C. Document | |
| 14. |
Reinsurance can be called as ________ |
| A. | Insurance of Insurance |
| B. | Insurance of insures |
| C. | Insurance of insurance policy |
| D. | None |
| Answer» B. Insurance of insures | |
| 15. |
The current ratio measures the ________ position of an insurance policy |
| A. | Solvency |
| B. | Liquidity |
| C. | Profitability |
| D. | Activity |
| Answer» C. Profitability | |
| 16. |
Property Insurance may not include ___________ |
| A. | Burglary |
| B. | Fidelity |
| C. | Insolvency |
| D. | Sickness |
| Answer» E. | |
| 17. |
Crop insurance scheme came into existence in India in ________ |
| A. | 1998 |
| B. | 1999 |
| C. | 1997 |
| D. | 2000 |
| Answer» C. 1997 | |
| 18. |
As per structured formula under the Motor Vehicle Act, victims of fatalinjuries are paid compensation on the basis of: |
| A. | Age and sex |
| B. | Age and number of dependents |
| C. | Income and size of family |
| D. | Age and income |
| Answer» E. | |
| 19. |
New Delhi is the head office of |
| A. | United India Insurance Co. Ltd. |
| B. | Oriental Insurance Co. Ltd. |
| C. | National Insurance Co. L |
| Answer» C. National Insurance Co. L | |
| 20. |
The IRDA stands for |
| A. | Insurance Regulatory and Development Activity. |
| B. | Insurance Reconstruction and Development Activity. |
| C. | Insurance Regulatory and Development Authority. |
| D. | Insurance Regulatory and Department Activity. |
| Answer» D. Insurance Regulatory and Department Activity. | |
| 21. |
FPR Means ________ |
| A. | First Premium Receipt |
| B. | Fourth Premium Receipt |
| C. | First Policy Receipt |
| D. | First Police Record |
| Answer» B. Fourth Premium Receipt | |
| 22. |
The risk of individuals and families are cored under ________ |
| A. | Personal insurance |
| B. | Property insurance |
| C. | Liability insurance |
| D. | All |
| Answer» B. Property insurance | |
| 23. |
Select the expanded form of SA as commonly used in life insurance |
| A. | Sum Assured |
| B. | Surrender of Assurance |
| C. | Supplementary Assurance |
| D. | Stamp Act |
| Answer» B. Surrender of Assurance | |
| 24. |
………….is an amount in excess of the value of insurers assets over theamount of liabilities.This amount is prescribed by IRDA. |
| A. | profit |
| B. | goodwill |
| C. | margin |
| D. | solvency margin. |
| Answer» E. | |
| 25. |
Fire insurance came into existence after the Great Fire of the London in _____ |
| A. | 1666 |
| B. | 1866 |
| C. | 1686 |
| D. | 1687 |
| Answer» B. 1866 | |
| 26. |
The organisation structure of LIC refers to ___________. |
| A. | Three Tier |
| B. | Four Tier |
| C. | Five Tier |
| D. | Six Tier |
| Answer» C. Five Tier | |
| 27. |
The purpose of ………. Are to hold the negligent person responsible for theloss and prevent the insured from collecting twice for the same loss. |
| A. | subrogation |
| B. | causa proxima |
| C. | indemnity |
| D. | uberrima fides |
| Answer» B. causa proxima | |
| 28. |
_____________ are independent professionals appointed by an insurance company to assess the loss or damage on a claim under a policy. |
| A. | Surveyors |
| B. | Loss Assessors |
| C. | Both a and b |
| D. | Agents |
| Answer» D. Agents | |
| 29. |
……… principle in insurance means maximum truth. |
| A. | subrogation |
| B. | causa proxima |
| C. | insurable interest |
| D. | uberrima fides |
| Answer» E. | |
| 30. |
Which of these persons will not be given a license to work as an insurance agent? |
| A. | A person with criminal record |
| B. | A corporate insurance executive. |
| C. | An employee of an insurance company |
| D. | All the three mentioned here. |
| Answer» B. A corporate insurance executive. | |
| 31. |
_______ means the act of throwing a part of the cargo over board lightenthe ship in emergencies |
| A. | Barratry |
| B. | Jettison |
| C. | Waiver |
| D. | Premium |
| Answer» C. Waiver | |
| 32. |
General Insurance Corporation was established during the year |
| A. | 1971 |
| B. | 1986 |
| C. | 1956 |
| D. | 1972 |
| Answer» E. | |
| 33. |
Which of the following terms matches closest with ‘Asbestosis’? |
| A. | Products |
| B. | Pension |
| C. | Rough Weather |
| D. | Workmen’s Compensation |
| Answer» E. | |
| 34. |
__________ provides evidence of insurance to the police and RegistrationAuthorities under Motor Vehicle Act. |
| A. | Endorsement |
| B. | Policy Form |
| C. | Certificate of insurance |
| D. | Cover note |
| Answer» D. Cover note | |
| 35. |
i. State which of the statements given below is correct . |
| A. | An organisation can exist only with employees |
| B. | An organisation can exist only with different sections |
| C. | An organisation can exist only with its own office building |
| D. | An organisation can exist without a purpose |
| Answer» B. An organisation can exist only with different sections | |
| 36. |
The agents who are selling policies of several life and non life insurance companies at a time are known as |
| A. | Brokers |
| B. | Surveyors |
| C. | Underwriters |
| D. | banks |
| Answer» B. Surveyors | |
| 37. |
The policy for which the premium is payable throughout the life of the assured is known as |
| A. | Annuity Policy |
| B. | Whole Life Policy |
| C. | Term Policy |
| D. | Endowment |
| Answer» C. Term Policy | |
| 38. |
ICICI prudential Life insurance company sent 50,000 direct mailers tooffice –goers in Mumbai through their lunch boxes.It is a |
| A. | Worksite marketing |
| B. | Direct marketing |
| C. | retail marketing |
| D. | none of these. |
| Answer» C. retail marketing | |
| 39. |
A person employed to do any act for another or to represent another in dealing with a third person refers to |
| A. | Agent |
| B. | Principal |
| C. | Development Officer |
| D. | Surveyor |
| Answer» B. Principal | |
| 40. |
Insurance provides security against ________ |
| A. | Risk |
| B. | Losses |
| C. | Both (a) & (b) |
| D. | None of them |
| Answer» D. None of them | |
| 41. |
__________ is a voluntary termination of the contract by thepolicy holders. |
| A. | Report |
| B. | Surrender |
| C. | Prospectus |
| D. | Cover note |
| Answer» C. Prospectus | |
| 42. |
When a company reinsures its liability with another, then it ________ business |
| A. | Cession |
| B. | Cedes |
| C. | Ceding |
| D. | None |
| Answer» C. Ceding | |
| 43. |
The scope of protection provided under the contract of insurance is ______ |
| A. | Condition |
| B. | Coverage |
| C. | Contribution |
| D. | None |
| Answer» C. Contribution | |
| 44. |
In ‘Hit and Run’ cases, claims are settled from _______ |
| A. | Solatium Fund |
| B. | IRDA’s contingency Fund |
| C. | Insuring Company’s reserves |
| D. | Motor Third Party Pool |
| Answer» B. IRDA’s contingency Fund | |
| 45. |
The ………….,has allowed cooperative societies to carry on insurancebusiness. |
| A. | Insurance (amendment)Act,2000 |
| B. | Insurance (amendment)Act,2001 |
| C. | Insurance (amendment)Act,2002 |
| D. | Insurance (amendment)Act,2003 |
| Answer» D. Insurance (amendment)Act,2003 | |
| 46. |
Health insurance can be availed by people aged between ______ and ______ |
| A. | 10 and 100 |
| B. | 7 and 75 |
| C. | 5 and 75 |
| D. | 10 and 70 |
| Answer» D. 10 and 70 | |
| 47. |
Find out which of the given statements is incorrect |
| A. | An organisation must have a purpose |
| B. | An organisation is identified by its actions |
| C. | An organisation is identified by the building it occupies |
| D. | A organisation can sue and be sued |
| Answer» D. A organisation can sue and be sued | |
| 48. |
________ means closure or writing off the policy before itsactual maturity |
| A. | Fore closure |
| B. | Surrender |
| C. | Endorsement |
| D. | Cover note |
| Answer» B. Surrender | |
| 49. |
________ is concerned with overseas trade |
| A. | Life Insurance |
| B. | Non-life insurance |
| C. | Marine insurance |
| D. | Fire insurance |
| Answer» D. Fire insurance | |
| 50. |
Dr.Nicholas Barbon set up in 1967 the first fire insurance company knownas the ……….. |
| A. | Nicolas company |
| B. | fire company |
| C. | fire insurance company |
| D. | fire office |
| Answer» E. | |