Q-11- What is the fundamental difference between the three commercial property insurance covered causes of loss forms – Basic Form, Broad Form, and Special Form?
- The number of perils listed in each causes of loss form.
- Only the Special Form offers additional coverage for fungus and collapse.
- The Basic Form names the perils covered while the Broad and Special Forms cover all perils that are not specifically excluded.
- Both the Basic and Broad Forms are written on a named perils basis while the Special Form provides coverage for all direct causes of loss not specifically excluded.
Option-4
Q-12- Which of the following factors does NOT result in higher premiums on commercial property insurance?
- Larger limits of insurance
- Smaller deductible amounts
- Additional optional coverages
- Broader covered causes of loss
Option-3 Additional Optional Coverage
Q-13- Who among the following decides whether to accept or not to accept the risk?
- Broker
- Insurer
- Surveyor
- Underwriter
Option-4 Underwriter decides whether to accept or not to accept the risk.
Q-14- What is the purpose of deductible clause in insurance policy?
- Increase Premium
- Reduce coverages
- Reduce Claim Outgo
- Eliminate small Insurance Claims
Option-4 Deductibles aim to reduce small claims.
Q-15- How is the premium under the Burglary policy decided?
- Premise Location
- Nature of Property
- Security Measures
- All of above
Option-4 All mentioned factors are taken into consideration while decides premium of Burglary policy.
Q-16- Which among the following insurance policy will be used by the employer to insure himself from dishonest act of his employees?
- Declaration Policy
- Public Liability Insurance policy
- Employes compensation policy
- Fidelity Guarantee Insurance policy
Option-4 Fidelity Guarantee Insurance policy helps employers to insure himself from dishonest acts of employees.
Q-17- Credit Insurance provide ________
- Coverage against fire loss
- Coverage against burglary
- Coverage against bad debts
- Coverage against Marine loss
Option-3 Credit Insurance provide coverage against Bad Debts.
Q-18- Oil well liability covers
- Drilling operations
- Scalling operations
- Machinery Operations
- All of these
Option-1 Oil well liability covers drilling Operations.
Q-19- The proportion of the risk which the direct insurer holds on his own account refers to __________
- Line
- Retention
- Retocession
- Ceding Insurer
Option-2 Retention
Q-20- Committee of Reforms in insurance sectors during 1993 headed by ____________.
- R.N. Malhotra
- S. Narashiman
- Manmohan Singh
- P. Chidamabaram
Option-1 Reform committee headed by R.N.Malhotra.
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