Super 30 GK Questions on Motor Insurance

SUPER 30 GK Questions on Motor Insurance

Super 30 GK Questions on Motor Insurance aims to provide a deep insight into Motor Vehicle Insurance.

Before start GK questions on Motor Insurance let us have to go through the origin of motor insurance.

Motor Insurance in India is regulated by Motor Insurance Act, 1938. Before this act, there was no compensation to the pedestrians who were knockdown, injured or killed by the Motor vehicles. As there were no regulations to meet all these types of situations. So to safeguards the interest of pedestrians The Motor Vehicles Act, 1938 were introduced.

This Act provides regulation to all Motor vehicles including Private Cars, Motorized Two Wheelers and Commercial Vehicles excluding those Vehicles running on the road.

There are mainly two types of policies, viz.

  • Third-Party or Liability only policy, Form A, or
  • Package policy- Form B

Third-Party(TP) or Liability only policy, is uniformly applied to all classes of vehicles, whether Private Cars, Commercial Vehicles, Motor Cycles or Motor Scooters, with suitable amendments in “Limitations as to Use”.

Package policy-Form B-which provides wider cover as indicated above, varies with the class of vehicle covered. There are therefore Form “B” Policies for Private Cars, Commercial Vehicles, Motor Cycles/Scooters, etc.

The coverage under Motor Policies are given under two sections

Section –I, provide coverage for Own Damage(OD). It provides coverage against risks of

a) Fire, explosion, self-ignition or lightning.

b) Burglary, housebreaking or theft.

c) Riot and strike etc.

Section-II, provide coverage against Liability to Third Parties(TP).In this, the insurers indemnify the insured against all sums which he may become legally liable to any person including occupants carried in the motor vehicle by reason of death or bodily injuries caused to such third parties or by reason of damage to the property of third parties caused by or arising out of the use of the motor car.

Section III , appears in commercial vehicle policies only.

GK questions on Motor Insurance will definitely give a chance to deep dive in learning about Motor Insurance.

Q-1- Private Car policy does not cover the following use

  1. Reliability test
  2. Used for social purpose
  3. Used for domestic pleasure purpose
  4. Carrying samples belonging to insured

Option-1 Privare car policy doesn’t cover vehicles use for Reliability test

Q-2- Geographical Zone for the purpose of rating is based upon

  1. Location of concerned RTO
  2. Area of the insurance company
  3. Area of operation of the vehicle
  4. At the option of insured/ insurers

Option-1 Geographical zones for the purpose of rating is based upon location of concerned RTO

Q-3- Vintage cars are considered as vintage, manufactured before

  1. 1930
  2. 1940
  3. 1947
  4. 1950

Option-2 1940

Q-4- What is Sunset Clause in Motor Policies in case of claim

  1. Clause operate after the expiry of policy
  2. Clause operate after 3 month of policy start
  3. Clause operate after 6 month of policy start
  4. Clause operate within policy period of any policy

Option-1 The sunset clause applies after the expiration period of the motor fleet insurance policy. If an insured takes a motor fleet insurance policy for five years, then any claims arising during the policy period of five years can be successfully settled by the insurance company.

Q-5- What is the full form of IMT in insurance?

  1. Indian Motor Tariff
  2. Indian Motor Transport
  3. Indian Marine Transport
  4. None of aboves

Option-1 Indian Motor Tariff

Q-6- What is limit for declare as Constructive total loss(CTL)

  1. 65%
  2. 70%
  3. 75%
  4. 80%

Option-3 For vehicle consider as CTL the repair cost should be more than at least 75% of vehicle total value

Q-7- What is Classic Cars?

  1. Cars manufactured after 31.12.1940, but before 31.12.1970
  2. Cars manufactured after 31.01.1940, but before 31.12.1970
  3. Cars manufactured after 31.12.1940, but before 31.01.1970
  4. Cars manufactured after 01.12.1940, but before 31.12.1970

Option-1 For consideration of Classic cars, they should be manufactured after 31.12.1940, but before 31.12.1970

Q-8- Which of the following Statement is true?

Statement A: Voluntary ‘excess’ under own damage section is applicable to all vehicles.

Statement B: Compulsory ‘excess’ is applicable only to commercial vehicles.

  1. Neither of the Statements
  2. Both Statements
  3. Only Statement A
  4. Only Statement B

Option-2 Both statements are true

Q-9- Sec.163 (a) of the MV Act deals with the following

  1. No Fault Liability
  2. Appeal to High Court
  3. Structured compensation
  4. Defences available to Insurance Company

Option-3 Sec.163 (a) of the MV Act deals with ‘Structured compensation’ to driver/passengers in case of vehicle accident

Q-10- IMT is used for

  1. a seperate policy for special vehicles
  2. as a supplement to delete policy coverage
  3. as a supplement to enhance policy coverage
  4. as a supplement to add/delete policy coverage

Option-4 IMT used for as a supplement to add/delete policy coverage

Know more about General Insurance with Avendra Singh