Top 250+ Solved Insurance Management MCQ Questions Answer
Q. Insurance helps to:
a. Prevent adverse situations from occurring
b. Reduce the financial consequences of adverse situations
c. Negate all consequences of adverse situations
d. Make assets continuously productive
Q. An actuary is expected to:
a. Make an exact forecast of the future liabilities of policies
b. Make a reasonable forecast of the future liabilities of policies
c. Calculate the premium required to cover a risk on a long-term basis
d. Find the probability of an insured event to happen in non-life policies
Q. The principle of _____________ ensures that an insured does not profit byinsuring with multiple insurers
a. Subrogation
b. Contribution
c. Co-insurance
d. Indemnity
Q. The principle of average applies when the value is _____________ in theproposal
a. Understated
b. Overstated
c. Not ascertainable
d. Negligible
Q. Fidelity Guarantee Policies cover losses due to fraud by ____________
a. Employees
b. Customers
c. Borrowers
d. Suppliers
Q. CTL as used in insurance
a. Contributory Total Loss
b. Constructive Total Loss
c. Construction Totally Lost
d. Contractors’ Total Loss
Q. GA as used in insurance
a. General Assurance
b. General Average
c. General Adjustment
d. Guaranteed Assurance
Q. Which of the following terms matches closest with ‘Family Floater’?
a. Health insurance
b. Property insurance
c. Accidental injury
d. Consequential loss
Q. In cases where a Life Insurance Agent collects the premium from thepolicyholder and remits it to the insurer’s office, he is acting as an agent of _____
a. IRDA
b. the Insurance Company
c. the Policyholder
d. the broker
Q. A policy where the policyholder makes a one-time payment of premium, isknown as a ______________:
a. Money-back policy
b. Single premium policy
c. Salary Savings Scheme policy
d. Half-yearly policy
Q. 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
Q. ……… 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
Q. State which of the statements given below is correct
a. People generally feel that life related risks are imminent
b. Religious beliefs interfere with the purchase of life insurance
c. People are always keen to buy insurance
d. Life insurance cannot be denied to anyone at any time
Q. Compared to the premium for a Whole Life plan, the premium for anEndowment plan will be ____________ for the same age
a. more
b. less
c. the same
d. double
Q. 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