This quiz works best with JavaScript enabled. Home > Indian Polity > Regulatory > Bodies > Development Authority Irda – Quiz 5 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Development Authority Irda Quiz 5 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which of the following can easily be compensatedthro' insurance? A) Primary burden of risk. B) Secondary burden of risk. C) Both. D) None. Show Answer Correct Answer: A) Primary burden of risk. 2. The emergence of which of the following necessitatesinsurance as a form of security? A) Joint family system. B) Nuclear family system. C) Both the above. D) None of the above. Show Answer Correct Answer: B) Nuclear family system. 3. Risk Transfer means- A) Insuring with an insurance company. B) Insuring with another individual. C) Insuring with the owner of the company. D) Risk retention. Show Answer Correct Answer: A) Insuring with an insurance company. 4. Agents balances (Dr) is shown in the balance sheet of LIC are A) Current Liabilities. B) Other Assets. C) Fixed Assets. D) Borrowing. Show Answer Correct Answer: B) Other Assets. 5. Preliminary expenses incurred by life insurance companies is treated as A) Miscelleneous Expenditure. B) A deduction from paid up share capital. C) A Fixed Assets. D) An operating expenses. Show Answer Correct Answer: B) A deduction from paid up share capital. 6. The type of market in which securities with less than one-year maturity is traded, is classified as: A) Money Market. B) Capital Market. C) Transaction Market. D) Global Market. Show Answer Correct Answer: A) Money Market. 7. In LIC Revenue account, Schedule 4 is named as A) Premium. B) Benefits paid. C) Claims. D) Operating Expenses. Show Answer Correct Answer: B) Benefits paid. 8. Risk Financing includes- A) Risk Retention. B) Risk Transfer. C) A & B correct. D) Both A & B wrong. Show Answer Correct Answer: C) A & B correct. 9. Which is not a contract of indemnity? A) Personal Accident. B) Fire. C) Marine. D) Motor. Show Answer Correct Answer: A) Personal Accident. 10. Origins of modern insurance business can be traced to ..... A) Bottomry. B) Lloyds. C) Rhodes. D) Malhotra Committee. Show Answer Correct Answer: B) Lloyds. 11. Which among the following is the regulator for the insurance industry in India? A) Insurance Authority of India. B) Insurance Regulatory and Development Authority of India. C) Life Insurance Corporation of India. D) General Insurance Corporation of India. Show Answer Correct Answer: B) Insurance Regulatory and Development Authority of India. 12. When is the best time to start financial planning? A) Post Retirement. B) As soon as one gets his first salary. C) After Marriage. D) Only after one gets rich. Show Answer Correct Answer: B) As soon as one gets his first salary. 13. ..... consists of collecting premiums from numerousindividuals to compensate the few who may sufferlosses A) Pooling. B) Contract. C) Guarantee. D) IRDA. Show Answer Correct Answer: A) Pooling. 14. The commission received from the re-insurer is called A) Commission on reinsurance accepted. B) Commission on reinsurance ceded. C) Commission on Direct Business. D) None of the above. Show Answer Correct Answer: B) Commission on reinsurance ceded. 15. Which of the below cannot be categorized under risks? A) Dying too young. B) Dying too early. C) Natural wear and Tear. D) Living with disability. Show Answer Correct Answer: C) Natural wear and Tear. 16. The money market where debt and stocks are traded and maturity period is more than a year is classified as: A) Shorter term markets. B) Capital Markets. C) Counter markets. D) Long-term markets. Show Answer Correct Answer: B) Capital Markets. 17. How many companies are included in the SENSEX of India? A) 30. B) 50. C) 111. D) 25. Show Answer Correct Answer: A) 30. 18. If the indemnity period is six months, Previous year sale during indemnity is 20, 000, Annual sales is 50, 000, sales during indemnity period (Current year) is 8, 000, then short sales amount will be: A) 30, 000. B) 12, 000. C) 42, 000. D) Insufficient information. Show Answer Correct Answer: B) 12, 000. 19. Insurance refers to protection against an event that ..... happen whereas Assurance refers to protectionagainst an event that ..... happen. A) May, may not. B) Might, will. C) Must, need not. D) Will, will not. Show Answer Correct Answer: B) Might, will. 20. The policy period in General Insurance is ..... A) 1 year. B) 10-15 years. C) 5-10 years. D) 1-5 years. Show Answer Correct Answer: A) 1 year. ← PreviousNext →Related QuizzesRegulatory QuizzesIndian Polity QuizzesDevelopment Authority Irda Quiz 1Development Authority Irda Quiz 2Development Authority Irda Quiz 3Development Authority Irda Quiz 4Development Authority Irda Quiz 6 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books