IRDA Functions and Insurance Councils MCQs

Welcome to our comprehensive collection of Multiple Choice Questions (MCQs) on IRDA Functions and Insurance Councils, 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 IRDA Functions and Insurance Councils 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 IRDA Functions and Insurance Councils mcq questions that explore various aspects of IRDA Functions and Insurance Councils problems. Each MCQ is crafted to challenge your understanding of IRDA Functions and Insurance Councils 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 IRDA Functions and Insurance Councils MCQs are your pathway to success in mastering this essential IC 14 Regulations of Insurance Business topic.

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IRDA Functions and Insurance Councils MCQs | Page 4 of 12

Discover more Topics under IC 14 Regulations of Insurance Business

Q31.
What does the Indian Stamp Act, 1899, require for a policy of insurance?

a.

Registration with the Insurance Regulatory and Development Authority

b.

Stamping in accordance with the prescribed schedule of rates

c.

Submission to the General Insurance Council for approval

d.

Filing with the Ministry of Finance

Discuss
Answer: (b).Stamping in accordance with the prescribed schedule of rates Explanation:The Indian Stamp Act, 1899, requires that a policy of insurance be stamped in accordance with the prescribed schedule of rates.
Q32.
What is the maximum fixed monthly relief provided under the Public Liability Insurance Act, 1991, for loss of wages due to temporary partial disability?

a.

Rs. 500/-

b.

Rs. 750/-

c.

Rs. 1,000/-

d.

Rs. 1,500/-

Discuss
Answer: (c).Rs. 1,000/- Explanation:The maximum fixed monthly relief under the Public Liability Insurance Act, 1991, for loss of wages due to temporary partial disability is Rs. 1,000/- for up to 3 months.
Q33.
What does the Public Liability Insurance Act, 1991, provide for in case of damage to private property?

a.

Compulsory insurance of the liability

b.

Fixed monthly relief not exceeding Rs. 1,000/-

c.

Reimbursement of medical expenses

d.

Rs. 6,000/- depending on the actual damage

Discuss
Answer: (d).Rs. 6,000/- depending on the actual damage Explanation:The Public Liability Insurance Act, 1991, provides for Rs. 6,000/- depending on the actual damage for damage to private property.
Q34.
What is the body corporate formed according to Section 64A of the Insurance Act, 1938?

a.

Insurance Regulatory and Development Authority

b.

General Insurance Corporation

c.

Insurance Association of India

d.

Life Insurance Corporation of India

Discuss
Answer: (c).Insurance Association of India Explanation:According to Section 64A of the Insurance Act, 1938, all insurers carrying on insurance business in India constitute a body corporate known as the 'Insurance Association of India.'
Q35.
What are the two councils established by Section 64C of the Insurance Act, 1938?

a.

Central Insurance Council and State Insurance Council

b.

Life Insurance Council and General Insurance Council

c.

Insurance Regulatory and Development Authority and Insurance Ombudsman

d.

Insurance Association Council and Regulatory Council

Discuss
Answer: (b).Life Insurance Council and General Insurance Council Explanation:Section 64C of the Insurance Act, 1938, provides for two councils - the Life Insurance Council and the General Insurance Council.
Q36.
Which section of the Insurance Act, 1938, allows members of the Life and General Insurance Councils to authorize representatives for meetings and elections?

a.

Section 64A

b.

Section 64B

c.

Section 64C

d.

Section 64D

Discuss
Answer: (d).Section 64D Explanation:Section 64D of the Insurance Act, 1938, allows members of the Life and General Insurance Councils to authorize representatives for meetings and elections.
Q37.
What is the authority responsible for overseeing the Executive Committees as per Section 64E of the Insurance Act, 1938?

a.

Insurance Regulatory and Development Authority

b.

Insurance Association of India

c.

Life Insurance Council

d.

General Insurance Council

Discuss
Answer: (b).Insurance Association of India Explanation:The authority overseeing the Executive Committees according to Section 64E of the Insurance Act, 1938, is the Insurance Association of India.
Q38.
What financial relationship exists between the insured and the insurer in the context of insurance?

a.

Lender-borrower relationship

b.

Customer-service provider relationship

c.

Delicate financial relationship

d.

Collaborative partnership

Discuss
Answer: (c).Delicate financial relationship Explanation:There is a delicate financial relationship between the insured and the insurer in the context of insurance.
Q39.
What does an insurer agree to do in exchange for payments from the insured?

a.

Sell financial products

b.

Provide defined services

c.

Reimburse losses on covered events

d.

Invest in premium markets

Discuss
Answer: (c).Reimburse losses on covered events Explanation:An insurer agrees to reimburse losses of the insured on the occurrence of specific events covered in the insurance policy.
Q40.
What is premium in the context of insurance?

a.

Compensation paid by the insurer

b.

Consideration paid by the insured

c.

Financial loss of the insurer

d.

Defined amount of money provided by the insured

Discuss
Answer: (b).Consideration paid by the insured Explanation:Premium is the consideration paid by the insured to the insurer in the context of insurance.
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