IC 38 Refresher Mock test 1

The emergence of which of the following necessitates

insurance as a form of security?

• Joint family system

• Nuclear family system

• Both the above

• None of the above

Which was the first Act to regulate life insurance

industry in India?

• Insurance Act, 1938

• Life Insurance Companies Act, 1912

• IRDA Act, 1999

• LIC Act, 1956

Government of India transacts life insurance

business in India through which of the following

• LIC of India

• GIC of India

• Postal Life Insurance

• All the above.

Which of the following entity is exempt from the

purview of the IRDA?

• LIC of India

• GIC of India

• Postal Life Insurance

• None.

The losses of a few are shared among many through

the mechanism of –

• Nuclear family

• Insurance

• Government

• All the above

…….. consists of collecting premiums from numerous

individuals to compensate the few who may suffer

losses

• Pooling

• Contract

• Guarantee

• IRDA

Which of the following is correct?

Statement A – Insurance reduces burdens

Statement B – Insurance is a system of mutual

support.

Statement C – Insurance the only method to

manage risks

• A is correct

• B is correct

• A, B & C correct

• A & B correct

Which of the following can easily be compensated

thro’ insurance?

• Primary burden of risk

• Secondary burden of risk

• Both

• None

Secondary burden of risk consists of …….. and ……

one has to bear if exposed to loss situation

• Trials, tribulations

• Costs, Strains

• Situations, Safeguards

• Circumstances, Conflicts

Which are the methods to manage risks?

• Risk Avoidance

• Risk Retention

• Risk Reduction

• All the above