UncategorizedLIC IC 38 LIC IC 38 1 / 50 What does life insurance provide protection against? Accidents only Theft only Risk events that can destroy or reduce the value of human life as an asset Natural disasters only 2 / 50 What are the purposes for which the above policies are granted? Business and holiday travels only Business travels only Holiday travels only Business, holiday, and study travels 3 / 50 What are measures to reduce the chance of occurrence of loss causing events known as? Loss reduction Loss minimisation Loss prevention Risk retention 4 / 50 How have advancements in medical science affected critical illnesses? They have made critical illnesses more common among the population They have reduced the severity and impact of critical illnesses They have increased the survival rates for major diseases They have eliminated the need for specialized insurance coverage 5 / 50 How can contingencies be addressed? By setting aside a large amount of liquid assets as a reserve By investing in high-risk assets By borrowing money from friends and family By relying on current income 6 / 50 According to the Insurance Act, 1938, how is "health insurance business" defined? Providing insurance coverage for medical professionals Offering contracts for travel and personal accident benefits Providing insurance coverage for sickness benefits and medical expenses Offering contracts for hospital expenses and out-patient treatments 7 / 50 Who is the "Designated Official" as per IRDAI regulations? An officer authorised by the Authority to conduct examinations for insurance agents An officer authorised by the Authority to maintain a centralised list of agents An officer authorised by the Insurer to make an appointment of an individual as an insurance agent An officer authorised by the Authority to dispose representations and appeals received from an appointed Insurance Agent. 8 / 50 Which of the following best describes insurable interest? Financial interest of the person in the asset to be insured The asset which is already insured Each insurers share of loss when more than one company covers the same loss The amount of the loss that can be recovered from the insurer 9 / 50 When might life insurers request special reports for insurance proposals? When the proposed sum assured is low When the proposed sum assured is high When the applicant is young When the applicant has a clean medical history 10 / 50 What type of expenses does the hospital daily cash policy cover? Actual cost of treatment Incidental expenses Out-of-pocket expenses for medications Emergency medical transportation expenses 11 / 50 What is the usual practice in life insurance regarding adverse factors? To apply discounts for positive health, habits, heredity or occupational factors To apply loadings for positive health, habits, heredity or occupational factors To apply discounts for adverse health, habits, heredity or occupational factors To apply loadings for adverse health, habits, heredity or occupational factors 12 / 50 What is the purpose of IGMS? To act as a central repository of insurance grievance data To provide a platform for insurers to register their grievances To monitor grievance redressal in the insurance industry To facilitate disposal of complaints of insurance agents 13 / 50 What is the potential consequence if life insurers were not selective in offering insurance? People with serious ailments would have difficulty obtaining insurance Insurers would experience increased anti-selection Insurers would have higher profits. People with serious ailments would seek to buy insurance . 14 / 50 What is the importance of high-quality service for insurance companies? It is not important It is important to some extent It is very important It is important only for big insurance companies 15 / 50 What is the declaration made by the proposer in the Proposal form? That the insurance company will accept the proposal That the proposer has read the policy terms and conditions That the recommended policy's details have been fully explained That the proposer has paid the premium 16 / 50 What is a possible consequence of having an occupation that falls under a hazardous category? Reduced premium rates Increased coverage limits Imposition of a flat extra Exemption from medical underwriting 17 / 50 What happens if a comprehensive motor policy lapses for more than 90 days? The accrued No Claim Bonus (NCB) benefit would be lost The policy remains valid with all continuity benefits The policyholder receives a penalty None of the above 18 / 50 What does cashless service mean in health insurance? The insured can receive treatment without making any payment to the hospita The insured can receive treatment up to the limit of cover without any payment to the hospital The insured can receive treatment without presenting a medical card. The insured is responsible for making payment to the hospital and later getting reimbursed by the insurer 19 / 50 What are the names of the two standard Health Insurance Policies introduced by IRDAI? Corona Kavach and Corona Rakshak COVID Shield and COVID Protect COVID Kavach and COVID Rakshak Corona Shield and Corona Protect 20 / 50 If the policyholder has bought a policy and does not want it, he/ she can return it during the _________ period, and get a refund. Free evaluation Free-look Cancellation Free trial 21 / 50 How does the sum insured vary in policies with a fixed plan basis? The sum insured remains the same for all sections of cover The sum insured is determined based on the individual's age The sum insured is determined based on the individual's occupation The sum insured varies for each section of cover as per the chosen plan 22 / 50 How are the initial costs of ULIP policies different from those of traditional policies? The initial costs are higher in ULIP policies The initial costs are lower in ULIP policies The initial costs are spread throughout the policy term in ULIP policies The initial costs are deducted from the initial premiums in ULIP policies 23 / 50 Why was Mira's claim denied by the insurance company? She contracted malaria within the waiting period She did not have a domiciliary hospitalization policy The insurance company had an excess clause of 30 days She did not submit the required documents for reimbursement 24 / 50 Who is required to undergo rigorous medical examinations? Policyholders under 45 years of age Policyholders over 45 years of age Policyholders under 30 years of age All policyholders 25 / 50 Which of the following statements regarding specific claim documents is correct? Accident claims may require a copy of the insurance policy. Case indoor papers are necessary for all types of claims Dialysis/ Chemotherapy/ Physiotherapy charts are not required for claim processing Hospital registration certificate is required to verify compliance with the definition of hospital 26 / 50 Which of the following statements about conditions in insurance policies is correct? Conditions are always waived in extreme cases of hardship A breach of condition results in immediate policy cancellation. Conditions are optional and can be overlooked by the insured Conditions are not mentioned in policy wordings 27 / 50 Which of the following activities is not categorized under professional settlement of claims? Seeking information relating to the cause of the loss Approaching the claim with a prejudice Ascertaining whether the loss was a result of an insured peril Quantifying the amount payable under the claim 28 / 50 When is the duty to disclose present in the context of an insurance contract? Until the policy is accepted and issued Throughout the policy term Only at the time of policy lapse 29 / 50 When does the recovery benefit get triggered? When the total hospitalization period is less than 10 days When the total hospitalization period is exactly 10 days When the total hospitalization period is more than 10 days When the total hospitalization period is 7 days 30 / 50 What should insured individuals do in the event of hospitalization? Proceed directly to any hospital of their choice. Inform the assistance company's call center and follow their instructions Submit the travel insurance policy to the nearest police station Contact the insurance company's claims department for guidance 31 / 50 What is the uncertainty associated with general insurance contracts? The amount of benefit to be paid in the event of death is fixed at the beginning of the contract. The concerned risk event is uncertain The probability of happening of the event increases with time. General insurance policies are contracts of assurance 32 / 50 What is the responsibility of the insurer upon receiving the award from the Ombudsman? The insurer has to inform the Ombudsman that they will not comply with the award The insurer has to comply with the award and inform the Ombudsman about the same within 30 days The insurer can challenge the award passed by the Ombudsman in the court of law The insurer can delay the compliance of the award until the insured files a legal case 33 / 50 What is the requirement for crossing the deductible in a top-up plan? The deductible must be crossed for each hospitalization event The deductible must be crossed for the total claims in one year The deductible must be crossed for a series of hospitalizations during the policy period The deductible does not need to be crossed in a top-up plan 34 / 50 What is the purpose of collecting KYC documents by insurers? To determine the True identity of their customers To determine the risk profile of the insured To verify the proof of age To provide details about the insurance product 35 / 50 What is the payment procedure for insured individuals receiving treatment in hospitals? The insured individual pays for the treatment upfront and later seeks reimbursement from the insurance company The hospital directly bills the insurance company for the treatment expenses. The insured individual undergoes treatment in the hospital on a cashless basis, without any upfront payment. The insured individual pays a portion of the treatment expenses, and the remaining amount is covered by the insurance company 36 / 50 What is the next step an agent can take after informing the customer about the free-look period provision? Ask the customer for the names and particulars of other individuals who can possibly benefit from the agents services Help the customer to open an e-Insurance Account (e-I-A) Explain the various policy provisions and policyholders rights and privileges Ask the client to contact other individuals and introduce the agent to them 37 / 50 What is the impact of unethical behavior in business? It leads to increased profitability It improves corporate governance It causes betrayal of trust It promotes accountability 38 / 50 What is the 'Customer Journey'? The process of acquiring new customers The experience a customer goes through from initial contact to claim settlement The journey taken by the insurance agent to reach out to new customers The journey taken by the customer to research and compare insurance policies 39 / 50 What is one of the traditional coverages provided under travel insurance? Loss of property due to natural disasters Medical expenses for pre-existing conditions Compensation for flight delays or cancellations Hijack cover 40 / 50 What is Mutuality? A type of insurance A concept to reduce risk in financial markets A type of liability A type of asset 41 / 50 What is a grace period in insurance? The period of time following the premium due date during which a payment can be made to renew or continue a policy without loss of continuity benefits The period of time during which an insurer can assume risk The period of time after which a policy cannot be renewed The period of time during which claims will not be considered 42 / 50 What gives insurance contracts their power and uniqueness? Spreading funds out among various assets Combining the funds of various individuals Risk avoidance The Principle of Mutuality 43 / 50 What factors can influence the variation in compensation for critical illnesses? Age of the policyholder Severity of the illness Policy terms and conditions All of the above 44 / 50 What does a Personal Accident (PA) Cover provide compensation for? Illness and hospitalization expenses Death and disability due to unforeseen accidents Loss of personal belongings Legal expenses and liabilities 45 / 50 What are the main categories of consumer disputes with the three commissions relating to insurance business? Amount or Quantum of loss Non-settlement of claims Repudiation of claims All of the above 46 / 50 What are consumer disputes redressal agencies? Agencies that handle disputes related to consumer goods only Agencies that handle disputes related to insurance only Agencies established at each district, state and national level to handle consumer disputes None of the above 47 / 50 What additional tests may be required by life insurers to assess the health of the proposed insured? Blood pressure measurement and cholesterol screening MRI and CT scan ECG, EEG, X-Ray of the chest, and Blood Sugar test Urine analysis and liver function test 48 / 50 How should the transfer of title be documented in an assignment? It should be mentioned in the policy application form. It should be communicated verbally to the insurer It should be specifically set forth in the form of an endorsement on the policy or a separate instrument It should be registered with the insurance regulatory authority 49 / 50 How does the per day cash coverage amount vary in the hospital daily cash policy? It remains the same for all policyholders It is based on the insured person's income level It varies depending on the duration of hospitalization It could range from Rs. 1,500 to Rs. 5,000 or more per day 50 / 50 How does the hospital daily cash policy overcome medical inflation? It provides coverage for all medical procedures and treatments It offers higher sum insured limits to cover rising medical costs It pays a fixed sum per day for the duration of hospitalization It provides coverage for outpatient expenses as well Your score is LIC IC 38 LIC IC 38
