Insurance - Study Mode

[#156] Which of the below statement is incorrect with regards to assignment of an insurance policy?
Correct Answer

(D) In case of Absolute Assignment, the policy vests absolutely with the assignee till maturity, except in case of death of the insured during the policy tenure, wherein the policy reverts back to the ben

Explanation

Solution: In case of Absolute Assignment, the policy vests absolutely with the assignee till maturity, except in case of death of the insured during the policy tenure, wherein the policy reverts back to the ben is incorrect with regards to assignment of an insurance policy.

[#157] Which of the below alteration will be permitted by an insurance company?
Correct Answer

(A) Splitting up of the policy into two or more policies

Explanation

Solution: Splitting up of the policy into two or more policies will be permitted by an insurance company.

[#158] Which of the following denotes the underwriter’s role in an insurance company?
Correct Answer

(B) Decide acceptability of risks

Explanation

Solution: the underwriter’s role in an insurance company is to decide acceptability of risks. Underwriters work in several insurance categories, including health, life, auto and home. Their job is to review applications for insurance, analyze risks and decide whether the company will offer coverage. Underwriters must approve applications so that the insurance company can collect premiums.

[#159] In which year New India Assurance Co Ltd was found?
Correct Answer

(C) 1919

Explanation

Solution: In year 1919 New India Assurance Co Ltd was found. Founded by Sir Dorabji Tata in 1919. It was founded by Sir Dorabji Tata in 1919, and was nationalised in 1973. Previously it was a subsidiary of the General Insurance Corporation of India (GIC).

[#160] What percent are shares of New India Assurance Co Ltd owned by Government of India?
Correct Answer

(D) 100%

Explanation

Solution: New India Assurance Co Ltd, today, is a 100 % Govt owned multinational general insurance company.