Top 250+ Solved Insurance Management MCQ Questions Answer
Q. ________ is the total premium that a policy holder pays
a. Gross premium
b. Avg. premium
c. Partial premium
d. All of these
Q. ________ means a premium which remains unchanged through out the lifeof a policy.
a. Avg. premium
b. Gross premium
c. Total premium
d. Level premium
Q. The time frame for which an insurance policy provides coverage is knownas ________
a. Policy term
b. Policy loan
c. Policy mode
d. None
Q. An exceptionally large risk is known as ________
a. Great risk
b. Jumbo risk
c. Giant risk
d. None
Q. A person who gains or benefits as per a contract is known as ______
a. Beneficiary
b. Annuitant
c. Assurer
d. None
Q. Intimation of Death is the information of death to the ________
a. Beneficiary
b. Insurer
c. Both (a) and (b)
d. None
Q. ________ is a form of health insurance against loss by accidental bodilyinjury
a. Property insurance
b. Marine insurance
c. Personal insurance
d. Accident insurance
Q. Taylor Tobacco Company is concerned that the company may be heldliable in a court of law and forced to pay a large damage award. The characteristics of the judicial system that increase the frequency and severity of losses is known as
a. moral hazard.
b. particular risk
c. speculative risk
d. legal hazar
Q. All of the following are social costs associated with insurance EXCEPT
a. the expense of doing business.
b. fraudulent claims.
c. inflated claims.
d. increased cost of capital.
Q. Bronson Company manufactures tools that it sells to wholesalers. Bronsonis concerned that it may be unable to collect money the company is owed by the wholesalers. To address this risk, Bronson Company could purchase
a. a fidelity bond.
b. general liability insurance.
c. allied lines insurance.
d. credit insurance.
Q. All of the following are financial risks which may be faced by businessorganizations EXCEPT
a. interest rate risk.
b. commodity price risk.
c. product liability risk.
d. currency exchange rate risk.
Q. NAIS stands for
a. National Agricultural Insurance Scheme
b. National Agro Insurance Scheme
c. National Accident Insurance Scheme
d. National Authority for Insurance Schemes.