Question

What is the requirement mentioned in Regulation 7 (c) of IRDA (Registration of Indian Insurance Companies) Regulations 2000 related to internal control of investment functions?

a.

To outsource all investment functions for efficiency

b.

To segregate functions and operations of Front, Mid, and Back office

c.

To perform internal audits of investment functions

d.

To invest in equity shares and debt instruments

Answer: (b).To segregate functions and operations of Front, Mid, and Back office Explanation:Regulation 7 (c) of IRDA (Registration of Indian Insurance Companies) Regulations 2000 requires insurers to ensure proper internal control of investment functions and operations by clearly segregating the functions and operations of Front, Mid, and Back office.

Interact with the Community - Share Your Thoughts

Uncertain About the Answer? Seek Clarification Here.

Understand the Explanation? Include it Here.

Q. What is the requirement mentioned in Regulation 7 (c) of IRDA (Registration of Indian Insurance Companies) Regulations 2000 related to internal control of investment functions?

Similar Questions

Explore Relevant Multiple Choice Questions (MCQs)

Q. What is the significance of the primary data server for investment management?

Q. When is the applicable NAV determined for applications received with local cheques, cash, or demand drafts?

Q. What is the procedure for determining the applicable NAV for applications received on the last business day of the Financial Year?

Q. What is the responsibility of the internal/concurrent auditor related to the reconciliation of product and fund information?

Q. What is the applicable NAV for applications received after Cut-off Time (3.00pm) on a business day?

Q. What does the insurer need to reconcile on a day-to-day basis for Unit-linked business?

Q. What is the requirement for applications received with local cheques, cash, or demand drafts after Cut-off Time (3.00 pm) on a business day?

Q. What is the basis for determining the applicable NAV for allotment of units?

Q. What does a "Business Day" mean?

Q. What is the frequency for reviewing the Investment Risk Management Systems and Process?

Q. What is required to be filed with the Authority along with the first quarter Returns regarding the Investment Risk Management Systems and Process?

Q. What is the responsibility of the board regarding the Investment Risk Management System and process?

Q. Who is typically expected to head the Audit Committee of the Board?

Q. What is the responsibility of the Internal or Concurrent Auditor with regard to investment transactions?

Q. What should be covered in the quarterly Internal/Concurrent audit report?

Q. What details should be included in the reports to be placed before the Board's Audit Committee?

Q. What category of investments is an insurer expected to invest in?

Q. How should the accounting of investments be conducted according to Regulation 14(a)?

Q. What authority does the IRDA have in modifying or changing regulations for insurers?

Q. What is the scope of dealing in financial derivatives for insurers according to Regulation 15(a)?

Recommended Subjects

Are you eager to expand your knowledge beyond IC 89 Management Accounting? We've handpicked a range of related categories that you might find intriguing.

Click on the categories below to discover a wealth of MCQs and enrich your understanding of various subjects. Happy exploring!