Top 150+ Solved Risk Management and Insurance MCQ Questions Answer
Q. ………… Clause generally inserted in all general insurance contract to discourage underinsurance
a. Specific clause
b. General clause
c. Valuation clause
d. Average clause
Q. Who pays premium under social security group insurance?
a. Every member of the group
b. Government
c. LIC
d. None of the above
Q. …………..is concerned with the conversion of a firms asset and earning power against risk ofaccidental loss.
a. Risk retention
b. Risk management
c. Risk control
d. Risk identification
Q. If the market interest rate is higher, the cost of insurance…
a. Increases
b. Moderate
c. Decreases
d. No change
Q. As age increases risk on the life………..
a. Increases
b. Decreases
c. No change
d. None of the above
Q. Premium of a policy is calculated on the basis of……
a. Income of the insured
b. Agent’s report
c. Risk associated with the policy
d. None of the above
Q. “Human life is an income generating asset”. The statement is……
a. True
b. Partly true
c. False
d. Partly false
Q. Maximum period of a policy in case of insurance other than life insurance is…..
a. 12 months
b. 24 months
c. No limit
d. None of these
Q. The business of insurance is related to protection of…………
a. Status
b. Economic value of asset
c. Savings
d. Profit
Q. Reinsurance also termed as…..
a. Double insurance
b. Reinsurance of reinsurance
c. Insurance of insurance
d. None of these
Q. The danger of loss from the unforeseen circumstances in future refers to _____
a. Risk
b. Perils
c. Hazards
d. Damage
Q. _________ is concerned with the conversion of a firm’s asset and earning power againstrisks of accidental loss.
a. Risk retention.
b. Risk management.
c. Risk control.
d. Risk identification.
Q. ________ involved those losses that occur even if there were no changes in the economicenvironment.
a. Dynamic risk.
b. Static risk.
c. Fundamental risk.
d. Particular risk.
Q. Risks are not suited to treatment by insurance refers to ____________
a. Static risk.
b. Property risk.
c. Dynamic risk.
d. Liability risk.
Q. Fundamental risk is also termed as _________
a. Particular risk.
b. Speculative risk.
c. Group risk.
d. Pure risk.