Top 150+ Solved Risk Management and Insurance MCQ Questions Answer
Q. Unemployment, war, inflation, earthquakes etc., are the examples of ________
a. Pure risk.
b. Particular risk.
c. Personal risk.
d. Fundamental risk.
Q. Any risk involved a situation where there is a possibility of gain refers to ________
a. Liability risk.
b. Personal risk.
c. Pure risk.
d. Speculative risk.
Q. Direct or Consequential losses refer to _________
a. Dynamic risk.
b. Particular risk.
c. Property risk.
d. Pure risk.
Q. Spreading of risk otherwise termed as _________
a. Shifting of risk.
b. Acceptance of risk.
c. Reduction of risk.
d. Spreading of risk.
Q. The principle of prevention is better than cure refers to __________
a. Avoiding of risk.
b. Reduction of risk.
c. Transferring of risk.
d. Shifting of risk.
Q. Insurance is a risk management technique involving____________
a. risk retention.
b. risk avoidance.
c. loss control.
d. risk transfer.
Q. Risk management follows a systematic process which involves _______ steps.
a. two.
b. three.
c. four.
d. five.
Q. Organizations are mainly concerned with managing
a. pure risks.
b. speculative risks.
c. personal risks.
d. other risks
Q. The first step in risk management process is
a. risk avoidance.
b. risk identification.
c. insurance.
d. risk evaluation.
Q. Which of the following steps in the risk management process helps in determining suminsured under policies?
a. risk identification.
b. risk retention.
c. risk transfer.
d. risk evaluation.
Q. Main emphasis of risk management is on
a. risk retention.
b. reduction of cost of handling risk.
c. risk transfer.
d. insurance.
Q. When the subject is partially lost by a peril insured against, it is called ___________
a. General average loss.
b. Constructive total loss.
c. Actual total loss.
d. Particular average loss.
Q. The Concept of Insurance is ___________
a. to share losses by many
b. to make money out of death
c. to earn interest
d. to earn a status
Q. Insurance covers the risk of most certain event _____
a. birth of a person
b. protection of the childhood
c. Protection in old age
d. death of a person
Q. Insurance cover _______
a. protects assets
b. prevents loss
c. reduces the impact of loss
d. insurances immorality