Insurance - Study Mode

[#366] A payment made under a money-back policy upon reaching a milestone will be classified under which type of claim?
Correct Answer

(C) Periodical survival claim

Explanation

Solution: A payment made under a money-back policy upon reaching a milestone will be classified under Periodical survival claim.

[#367] Shankar bought a 10 year Unit Linked Insurance Plan. If he dies before the maturity of the policy which of the below will be paid?
Correct Answer

(B) Lower of sum assured or fund value

Explanation

Solution: Shankar bought a 10 year Unit Linked Insurance Plan. If he dies before the maturity of the policy lower of sum assured or fund value will be paid.

[#368] Based on classification of claims (early or non-early), pick the odd one out?
Correct Answer

(D) Pravin dies after five and half years of buying a term insurance plan

Explanation

Solution: Pravin dies after five and half years of buying a term insurance plan, is the odd one among all. In other three cases death occurs within 3 years.

[#369] Applicant shall complete _________ hours training to become an insurance agent.
Correct Answer

(A) 50

Explanation

Solution: Applicant shall complete 50 hours training to become an insurance agent. Licence to work as an insurance agent is issued by the IRDA. Agent‟s licence is to be renewed every three years.

[#370] Identify the statement which is not correct. Insurance agent should _________.
Correct Answer

(B) Share the commission by way of rebate

Explanation

Solution: Insurance agent should not share the commission by way of rebate. This practice is illegal and totally against the laws of Insurance Act and SEBI. The agent can even face cancellation of his license if he is found to share his commission.