Q. How does an insurance company handle sub-standard risk?

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Q. How does an insurance company charge extra premium for the extra risk associated with an individual?

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Q. Why is it difficult to administer an increasing extra premium for increasing risk?

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Q. What is diminishing lien?

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Q. When is a reduced basic sum assured paid in a policy with a diminishing lien?

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Q. How does the amount of debt in a policy with a diminishing lien change over time?

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Q. When does the debt in a policy with a diminishing lien get fully cancelled?

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Q. What happens to the bonuses in a policy with a diminishing lien?

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Q. What happens if death occurs due to accident in a policy with a diminishing lien?

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Q. Why is the method of diminishing lien currently not used in India?

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Q. What is the lien period in a policy with a 25% diminishing lien for 5 years?

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Q. In which method of acceptance does the insurance company restrict the payout of a claim for the full cover under certain conditions?

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Q. What is the purpose of the specific exclusion clause in an insurance policy?

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Q. If the insured dies due to a condition that has been excluded from the policy, what does the insurance company do?

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Q. What could be the consequence of issuing policies with specific exclusions and assigning them to mortgage loans?

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Q. In which scenario would an insurance company not pay any claim if the person dies in an air-crash?

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Q. What is the Postponement of acceptance of risk in the insurance industry?

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Q. In what scenario can an underwriter take a decision to postpone a proposal?

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Q. How is the proposal evaluated after the postponement period in the underwriting process?

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Q. What is the benefit of postponement of acceptance of risk to the client and insurer?

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