IRDA 2

The measures to reduce chances of occurrence of risk are known as

• Risk retention

• Loss prevention

• Risk transfer

• Risk avoidance

By transferring risk to insurer, it becomes possible ___________.

• To become careless about our assets

• To make money from insurance in the event of a loss

• To ignore the potential risks facing our assets

• To enjoy peace of mind and plan one‟s business more effectively

Origins of modern insurance business can be traced to

• Bottomry

• Lloyds

• Rhodes

• Malhotra Committee

In insurance context „risk retention‟ indicates a situation where

• Possibility of loss or damage is not there

• Loss producing event has no value

• Property is covered by insurance

• One decides to bear the risk and its effects

Which of the following statement is true?

• Insurance protects the asset

• Insurance prevents its loss

• Insurance reduces possibilities of loss

• Insurance pays when there is loss of asset

Which of the below option best describes the process of insurance?

• Sharing the losses of many by a few

• Sharing the losses of few by many

• One sharing the losses of few

• Sharing of losses through subsidy

Identify the scenario where a debate on the need for insurance is not required.

• Property insurance

• Business liability insurance

• Motor insurance for third party liability

• Fire insurance

As per the Consumer Protection Act, 1986, who cannot be classified as a consumer?

• Hires goods / services for personal use

• A person who buys goods for resale purpose

• Buys goods and services for a consideration and uses them

• Uses the services of another for a consideration

What does not go on to make a healthy relationship?

• Attraction

• Trust

• Communication

• Scepticism

Which among the following is not an element of active listening?

• Paying good attention

• Being extremely judgemental

• Empathetic listening

• Responding appropriately