This quiz works best with JavaScript enabled. Home > Indian Polity > Regulatory > Bodies > Development Authority Irda – Quiz 2 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Development Authority Irda Quiz 2 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. WHO REGULATES INSURANCE SECTOR IN INDIA? A) RBI. B) SEBI. C) IRDA. D) NONE OF THE ABOVE. Show Answer Correct Answer: C) IRDA. 2. In commercial contracts, the principle to be observedis- A) Caveat Emptor. B) Indemnity. C) Proximity. D) Uberrima Fides. Show Answer Correct Answer: A) Caveat Emptor. 3. Which of the below is the advantage of cash value contracts A) Returns subject to corroding effect of inflation. B) Low accumulation in earlier years. C) Lower Yields. D) Secure Investment. Show Answer Correct Answer: D) Secure Investment. 4. Which of the following is correct? Statement A-Insurance reduces burdensStatement B-Insurance is a system of mutualsupport.Statement C-Insurance the only method tomanage risks A) A is correct. B) B is correct. C) A, B & C correct. D) A & B correct. Show Answer Correct Answer: D) A & B correct. 5. Which of the following is correct? Statement A. The system of insurance benefitsindividual, family and the societyStatement B. Insurance companies could invest inspeculative ventures. A) A is correct. B) B is correct. C) Both A and B correc. D) A & B wrong. Show Answer Correct Answer: A) A is correct. 6. ..... is a rise in the general level of prices of goods and services in an economy over a period of time A) Deflation. B) Inflation. C) Stagflation. D) Hyperinflation. Show Answer Correct Answer: B) Inflation. 7. ..... means every party to an insurance contractmust disclose all material information. A) Insurable Interest. B) Indemnity. C) Proximity. D) Uberrima Fides. Show Answer Correct Answer: D) Uberrima Fides. 8. As per HLV concept, the amount of insurance onecan buy could be ..... times of one's annual income A) 5 to 10 times. B) 10 to 15 times. C) 25 to 50 times. D) 50 to 100 times. Show Answer Correct Answer: B) 10 to 15 times. 9. ..... rserve is a reserve to be created to meet any loss due to Natural Calamities, A) General Reserve. B) Capital Reserve. C) Revenue Reserve. D) Catastrophe Reserve. Show Answer Correct Answer: D) Catastrophe Reserve. 10. Life insurance policy, in general, is a mixture of- A) Protection and security. B) Insurance and Assurance. C) Protection and Savings. D) Protection and Tax relief. Show Answer Correct Answer: C) Protection and Savings. 11. Material facts are those that would help the insurer todecide: A) The acceptability of risk. B) The rate of premium to be charged. C) Both A and B correct. D) None are correct. Show Answer Correct Answer: C) Both A and B correct. 12. Human Life Value can be arrived at by dividing ..... by ..... A) Gross earnings, Rate of interest. B) Net earnings, Gross earnings. C) Gross earnings, Net earnings. D) Net earnings, Rate of interest. Show Answer Correct Answer: D) Net earnings, Rate of interest. 13. Insurance business in india is now regulated by the provisions of: A) The Insurance Act 1938. B) The IRDA act 1999. C) The Banking Regulation Act 1949. D) The Indian Companies Act 1956. Show Answer Correct Answer: B) The IRDA act 1999. 14. The balance found in the revenue account of LIC is considered as ..... A) Net Profit / Net Loss. B) Surplus / Deficit. C) Life Assurance Fund. D) Gross Profit / Gross Loss. Show Answer Correct Answer: B) Surplus / Deficit. 15. What does inter temporal allocation of resources mean? A) Allocation of resources over time. B) Postponing allocation of resources until time is right. C) Temporary allocation of resources. D) Diversification of resource allocation. Show Answer Correct Answer: A) Allocation of resources over time. 16. Who devised the concept of HLV A) Dr.Martin Luther King. B) Warren Buffet. C) Prof Hubener. D) George Soros. Show Answer Correct Answer: C) Prof Hubener. 17. A valuation Balance sheet is prepared by A) Joint stock company. B) Banking Company. C) Life Insurance Company. D) General Insurance Company. Show Answer Correct Answer: C) Life Insurance Company. 18. HLV concept helps to determine the ..... limitbeyond which life insurance could be speculative. A) Upper. B) Lower. C) Middle. D) All the above. Show Answer Correct Answer: A) Upper. 19. A fire insurance policy is taken out to indemnify/ recover: A) Capital losses and revenue losses of tangible assets. B) Revenue losses of tangible assets. C) Capital losses of intangible assets. D) None of the above. Show Answer Correct Answer: A) Capital losses and revenue losses of tangible assets. 20. INSURANCE BUSINESS IS CONTROLLED BY? A) INSURANCE ACT 1938. B) INSURANCE RULES 1939. C) IRDA REGULATION 2002. D) ALL OF THE ABOVE. Show Answer Correct Answer: D) ALL OF THE ABOVE. ← PreviousNext →Related QuizzesRegulatory QuizzesIndian Polity QuizzesDevelopment Authority Irda Quiz 1Development Authority Irda Quiz 3Development Authority Irda Quiz 4Development Authority Irda Quiz 5Development Authority Irda Quiz 6 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books