Dispute Resolution Mechanism MCQs

Welcome to our comprehensive collection of Multiple Choice Questions (MCQs) on Dispute Resolution Mechanism, a fundamental topic in the field of IC 14 Regulations of Insurance Business. Whether you're preparing for competitive exams, honing your problem-solving skills, or simply looking to enhance your abilities in this field, our Dispute Resolution Mechanism MCQs are designed to help you grasp the core concepts and excel in solving problems.

In this section, you'll find a wide range of Dispute Resolution Mechanism mcq questions that explore various aspects of Dispute Resolution Mechanism problems. Each MCQ is crafted to challenge your understanding of Dispute Resolution Mechanism principles, enabling you to refine your problem-solving techniques. Whether you're a student aiming to ace IC 14 Regulations of Insurance Business tests, a job seeker preparing for interviews, or someone simply interested in sharpening their skills, our Dispute Resolution Mechanism MCQs are your pathway to success in mastering this essential IC 14 Regulations of Insurance Business topic.

Note: Each of the following question comes with multiple answer choices. Select the most appropriate option and test your understanding of Dispute Resolution Mechanism. You can click on an option to test your knowledge before viewing the solution for a MCQ. Happy learning!

So, are you ready to put your Dispute Resolution Mechanism knowledge to the test? Let's get started with our carefully curated MCQs!

Dispute Resolution Mechanism MCQs | Page 1 of 6

Discover more Topics under IC 14 Regulations of Insurance Business

Q1.
What is the main objective of the Consumer Protection Act?

a.

To promote businesses

b.

To provide simple, speedy, and inexpensive redressal to consumer grievances

c.

To regulate industries

d.

To increase consumer prices

Discuss
Answer: (b).To provide simple, speedy, and inexpensive redressal to consumer grievances Explanation:The main objective of the Consumer Protection Act is to provide simple, speedy, and inexpensive redressal to consumer grievances.
Q2.
Which amendment act amended the Consumer Protection Act in 2002?

a.

Consumer Protection (Amendment) Act, 1986

b.

Consumer Protection (Amendment) Act, 2002

c.

Consumer Rights Act, 2002

d.

Consumer Empowerment Act, 2002

Discuss
Answer: (b).Consumer Protection (Amendment) Act, 2002 Explanation:The Consumer Protection Act was amended by the Consumer Protection (Amendment) Act, 2002.
Q3.
Which sectors does the Consumer Protection Act cover?

a.

Only private sector

b.

Only public sector

c.

Only co-operative sector

d.

All sectors including private, public, and co-operative

Discuss
Answer: (d).All sectors including private, public, and co-operative Explanation:The Consumer Protection Act covers all sectors including private, public, and co-operative.
Q4.
What is the definition of a consumer according to the Consumer Protection Act?

a.

Any person who buys goods for commercial purposes

b.

Any person who avails services for free of cost

c.

Any person who buys goods or avails services for a consideration

d.

Any person who sells goods or provides services

Discuss
Answer: (c).Any person who buys goods or avails services for a consideration Explanation:According to the Consumer Protection Act, a consumer is defined as any person who buys goods or avails services for a consideration.
Q5.
Which Act considers the policyholder, nominee, assignee, and beneficiary of an insurance policy as consumers?

a.

Consumer Protection Act

b.

MWP Act (Married Women’s Property Act, 1874)

c.

Insurance Act

d.

Goods and Services Tax Act

Discuss
Answer: (b).MWP Act (Married Women’s Property Act, 1874) Explanation:Under the MWP Act, the policyholder, nominee, assignee, and beneficiary of an insurance policy are considered as consumers.
Q6.
What is the composition of the District Forum under the Consumer Protection Act?

a.

President – High Court Judge and two other members

b.

President – District Judge and two other members (1 lady member)

c.

President – Supreme Court Judge and two other members

d.

President – Civil Judge and two other members

Discuss
Answer: (b).President – District Judge and two other members (1 lady member) Explanation:The District Forum is composed of a President who is a District Judge and two other members, one of whom must be a woman.
Q7.
What is the jurisdiction of the District Forum in terms of the value of services and compensation claimed?

a.

Up to Rs 10 Lakhs

b.

Up to Rs 15 Lakhs

c.

Up to Rs 20 Lakhs

d.

Up to Rs 25 Lakhs

Discuss
Answer: (c).Up to Rs 20 Lakhs Explanation:The District Forum has jurisdiction over cases where the value of services and compensation claimed does not exceed Rs 20 Lakhs.
Q8.
Who presides over the State Commission under the Consumer Protection Act?

a.

President – District Judge

b.

President – High Court Judge

c.

President – Supreme Court Judge

d.

President – Magistrate

Discuss
Answer: (b).President – High Court Judge Explanation:The State Commission is presided over by a President who is a High Court Judge.
Q9.
What is the jurisdiction of the State Commission in terms of the value of complaints?

a.

Up to Rs 50 lakhs

b.

Up to Rs 1 crore

c.

Up to Rs 2 crores

d.

Up to Rs 5 crores

Discuss
Answer: (b).Up to Rs 1 crore Explanation:The State Commission has jurisdiction over complaints of value claimed if it exceeds Rs 20 lakhs but does not exceed Rs 1 crore.
Q10.
Who heads the National Commission under the Consumer Protection Act?

a.

President – District Judge

b.

President – High Court Judge

c.

President – Supreme Court Judge

d.

President – Civil Judge

Discuss
Answer: (c).President – Supreme Court Judge Explanation:The National Commission is headed by a President who is a Supreme Court Judge.
Page 1 of 6