Insurance Quiz

Insurance is a contract where one party agrees to:

• Lend money to another

• Manufacture goods

• Provide compensation against losses

• Pay interest regularly

The person who buys the insurance policy is known as:

• Insurer

• Beneficiary

• Policyholder

• Underwriter

Which of the following is not a principle of insurance?

• Principle of Indemnity

• Principle of Subrogation

• Principle of Profit

• Principle of Utmost Good Faith

The principle of "Insurable Interest" means:

• Earning profit from insurance

• The insured must suffer a financial loss if the event occurs

• The insurer's benefit from the policy

• The insured gets interest on premium

In insurance, the term "Underwriting" refers to:

• Writing policy documents by hand

• Assessing risk and setting premiums

• Advertising policies

• Renewing expired policies

Life Insurance covers:

• Fire losses

• Personal health only

• Loss of life

• Theft of vehicles

General Insurance includes all of the following except:

• Marine Insurance

• Health Insurance

• Life Insurance

• Fire Insurance

Health insurance comes under:

• Life Insurance

• General Insurance

• Re-insurance

• Agricultural Insurance

The term "Re-insurance" refers to:

• Cancelled policies

• Insurance for insurance companies

• Joint policy for two people

• Group insurance

Term Insurance provides:

• Maturity benefits

• Coverage only for a fixed period

• Refund of all premiums

• Investment profits