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.

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Dispute Resolution Mechanism MCQs | Page 4 of 6

Discover more Topics under IC 14 Regulations of Insurance Business

Q31.
How would disputes arising under the Insurance Act, 1938 be handled under the proposed setup?

a.

They would continue to be addressed by the Consumer Fora

b.

They would be transferred to the GRAs for disposal in accordance with the provisions of the Insurance Act, 1938

c.

They would be handled directly by the insurance companies

d.

They would be resolved by the civil courts

Discuss
Answer: (b).They would be transferred to the GRAs for disposal in accordance with the provisions of the Insurance Act, 1938 Explanation:Under the proposed setup, disputes arising under the Insurance Act, 1938 would be transferred to the Grievance Redressal Authorities (GRAs) for disposal in accordance with the provisions of the Insurance Act, 1938.
Q32.
What provision may be made to encourage Alternate Dispute Resolution (ADR) in the proposed setup?

a.

Mandatory arbitration for all disputes

b.

Option for the claimant to choose mediation or conciliation, with referral by the Grievance Redressal Authority ( GRA )

c.

Exclusive reliance on court proceedings for dispute resolution

d.

Automatic referral of all disputes to mediation

Discuss
Answer: (b).Option for the claimant to choose mediation or conciliation, with referral by the Grievance Redressal Authority ( GRA ) Explanation:With the aim of encouraging Alternate Dispute Resolution (ADR), the proposed setup may provide the option for the claimant to choose mediation or conciliation, with referral by the Grievance Redressal Authority (GRA).
Q33.
How would the decision of the Grievance Redressal Authority (GRA) or the final decision on appeal be enforced?

a.

By the insurance company involved in the dispute

b.

By the complainant's legal representation

c.

By the court system

d.

By the GRA which passes the initial order, utilizing all the powers of a civil court

Discuss
Answer: (d).By the GRA which passes the initial order, utilizing all the powers of a civil court Explanation:The decision of the Grievance Redressal Authority (GRA) or the final decision on appeal would be enforceable by the GRA which passes the initial order, utilizing all the powers of a civil court.
Q34.
What would be the composition of the Grievance Redressal Authority (GRA)?

a.

Solely comprised of legal professionals

b.

A single judicial member

c.

A multi-member body with one judicial member who serves as the President and two technical members

d.

Only technical experts

Discuss
Answer: (c).A multi-member body with one judicial member who serves as the President and two technical members Explanation:According to the proposed setup, the Grievance Redressal Authority (GRA) should be a multi-member body comprising one judicial member who serves as the President and two technical members.
Q35.
How would technical members be appointed to the Grievance Redressal Authority (GRA)?

a.

Selection by the Chief Justice of the High Court

b.

Nomination by the Central Government without consultation

c.

Recommendation by a Selection Committee comprising members of the Insurance Councils

d.

Direct appointment by the Central Government without a selection process

Discuss
Answer: (c).Recommendation by a Selection Committee comprising members of the Insurance Councils Explanation:Technical members would be appointed to the Grievance Redressal Authority (GRA) through a recommendation process by a Selection Committee comprising members of the Insurance Councils, as per the proposed setup.
Q36.
What authority would be responsible for formulating rules of procedure for the Grievance Redressal Authority (GRA)?

a.

The Central Government

b.

The Insurance Councils

c.

The Judiciary

d.

The GRA itself

Discuss
Answer: (d).The GRA itself Explanation:The Grievance Redressal Authority (GRA) would be responsible for formulating rules of procedure to cover various aspects of its operations, according to the proposed setup.
Q37.
Under what circumstances can the President or Members of the GRA be removed from office?

a.

At the discretion of the Central Government

b.

By a decision made solely by the President

c.

Grounds of proved misbehavior or incapacity after an enquiry conducted by a Judge of the High Court

d.

Without any specific grounds or procedures

Discuss
Answer: (c).Grounds of proved misbehavior or incapacity after an enquiry conducted by a Judge of the High Court Explanation:The President or Members of the Grievance Redressal Authority (GRA) can only be removed from office on grounds of proved misbehavior or incapacity after an enquiry conducted by a Judge of the High Court, as per the proposed setup.
Q38.
What is the jurisdiction of the Insurance Appellate Tribunal (IAT) regarding appeals?

a.

Appeals from consumer forums

b.

Appeals from the IRDA

c.

Appeals from the Grievance Redressal Authority (GRA)

d.

All of the above

Discuss
Answer: (d).All of the above Explanation:The jurisdiction of the Insurance Appellate Tribunal (IAT) extends to hearing appeals from the Grievance Redressal Authority (GRA), appeals against orders passed by the Adjudicating/Investigating Officers appointed by the IRDA, appeals against any order passed by the IRDA, and making of interim orders in relation to these matters.
Q39.
How is the composition of the Insurance Appellate Tribunal (IAT) determined?

a.

Solely by the Central Government

b.

In consultation with the Chief Justice of India

c.

By the Insurance Councils

d.

Through nominations by the President

Discuss
Answer: (b).In consultation with the Chief Justice of India Explanation:The composition of the Insurance Appellate Tribunal (IAT) is determined in consultation with the Chief Justice of India, with a retired High Court Judge nominated as President and two technical members. Additionally, appointments of technical members are made in consultation with the Chief Justice of India.
Q40.
Who is responsible for making rules regarding the salaries, allowances, and other terms and conditions of service of the President and Members of the Insurance Appellate Tribunal (IAT)?

a.

The Insurance Councils

b.

The Central Government

c.

The Chief Justice of India

d.

The IRDA

Discuss
Answer: (b).The Central Government Explanation:The Central Government is responsible for making rules regarding the salaries, allowances, and other terms and conditions of service of the President and Members of the Insurance Appellate Tribunal (IAT).
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