Insurance Awareness Quiz|4th April 2019

Insurance Awareness Quiz for LIC AAO

Q1.A whole life policy in which premiums are payable as long as the insured lives is called ________

(a) Straight Life Annuity

(b) Subrogation

(c) Straight Life

(d) Subjective Risk

Q2.A life annuity in which there is no refund to any beneficiary at the death of the annuitant is termed as ________

(a) Straight Life Annuity

(b) Subrogation

(c) Straight Life

(d) Subjective Risk

Q3.A standing agreement between insurers and re-insurers. Under a treaty each party automatically accepts specific percentages of the insurer’s business is termed as _______

(a) Catastrophe Reinsurance

(b) Excess of Loss Reinsurance

(c) Facultative Reinsurance

(d) Treaty Reinsurance

Q4.A form of reinsurance that indemnifies the ceding company for the accumulation of losses in excess of a stipulated sum arising from a single catastrophic event or series of events is termed as _______

(a) Catastrophe Reinsurance

(b) Excess of Loss Reinsurance

(c) Facultative Reinsurance

(d) Treaty Reinsurance

Q5.A type of reinsurance in which the re-insurer indemnifies the ceding company for losses that exceed a specified limit is called _______

(a) Catastrophe Reinsurance

(b) Excess of Loss Reinsurance

(c) Facultative Reinsurance

(d) Treaty Reinsurance

Q6._______ is a form of non-proportional reinsurance.

(a) Catastrophe Reinsurance

(b) Excess of Loss Reinsurance

(c) Facultative Reinsurance

(d) Treaty Reinsurance

Q7.________ is reinsurance for a single risk or a defined package of risks.

(a) Catastrophe Reinsurance

(b) Excess of Loss Reinsurance

(c) Facultative Reinsurance

(d) Treaty Reinsurance

Q8.________ is a type of life insurance policy that provides coverage for a certain period of time, or a specified “term” of years

(a) Catastrophe Reinsurance

(b) Excess of Loss Reinsurance

(c) Facultative Reinsurance

(d) Term Insurance

Q9.A policy that cannot be cancelled by the insurer prior to a certain age is called ________

(a) No-Fault

(b) Negligence

(c) Non-cancellable

(d) None of the Above

Q10.A single insurance policy that combines several coverages previously sold separately is termed as __________

(a) Package Policy

(b) Multiple Policy

(c) Combined Policy

(d) None of the Above

Answer Key

Ans.1.(c)

Ans.2.(a)

Ans.3.(d)

Ans.4.(a)

Ans.5.(b)

Ans.6.(b)

Ans.7.(c)

Ans.8.(d)

Ans.9.(c)

Ans.10.(a)

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