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 6 of 12

Discover more Topics under IC 14 Regulations of Insurance Business

Q51.
According to the Motor Vehicles Act, 1988, what is required for a motor vehicle to be used in a public place?

a.

Vehicle registration

b.

Driver's license

c.

Fitness certificate

d.

Insurance policy issued by an authorized insurer

Discuss
Answer: (d).Insurance policy issued by an authorized insurer Explanation:According to the Motor Vehicles Act, 1988, a motor vehicle cannot be used in a public place unless there is in force a policy of insurance issued by an authorized insurer.
Q52.
What does Chapter (XI) of the Motor Vehicles Act, 1988, provide for?

a.

Vehicle registration procedures

b.

Compulsory insurance of motor vehicles

c.

Speed limits on highways

d.

Traffic rules and regulations

Discuss
Answer: (b).Compulsory insurance of motor vehicles Explanation:Chapter (XI) of the Motor Vehicles Act, 1988, provides for compulsory insurance of motor vehicles.
Q53.
What does the Motor Vehicles Act, 1988, mandate regarding compensation to victims of accidents?

a.

Compensation is voluntary and not mandatory

b.

Compensation only for vehicle owners

c.

Mandates payment of compensation to victims of accidents

d.

Compensation is only for medical expenses

Discuss
Answer: (c).Mandates payment of compensation to victims of accidents Explanation:The Motor Vehicles Act, 1988, mandates payment of compensation to victims of accidents arising out of the use of motor vehicles.
Q54.
What is the purpose of constituting Motor Accidents Claims Tribunals (MACT) under the Motor Vehicles Act?

a.

Issuing driving licenses

b.

Regulating traffic violations

c.

Ensuring speedy settlement of claims of persons involved in motor vehicle accidents

d.

Setting speed limits on highways

Discuss
Answer: (c).Ensuring speedy settlement of claims of persons involved in motor vehicle accidents Explanation:The purpose of constituting Motor Accidents Claims Tribunals (MACT) is to ensure speedy settlement of claims of persons involved in motor vehicle accidents.
Q55.
According to the Motor Vehicles Act, 1988, what is the minimum compensation amount a claimant is entitled to in cases of death without proving fault on the part of the vehicle owner?

a.

Rs 10,000

b.

Rs 25,000

c.

Rs 50,000

d.

Rs 75,000

Discuss
Answer: (c).Rs 50,000 Explanation:A claimant is entitled to compensation of Rs 50,000 in cases of death without proving fault on the part of the vehicle owner under Section 140 of the MV Act.
Q56.
Under Section 146 of the MV Act, what is the requirement for using a motor vehicle in public places?

a.

Fitness certificate

b.

Driver's license

c.

Insurance policy complying with the requirements of the MV Act

d.

Vehicle registration

Discuss
Answer: (c).Insurance policy complying with the requirements of the MV Act Explanation:No person shall use a motor vehicle in public places unless there is a policy of insurance complying with the requirements of the MV Act, as per Section 146.
Q57.
According to Section 147 of the MV Act, what must the insurance policy cover?

a.

Only damage to the insured vehicle

b.

Only bodily injury to the insured

c.

Death or bodily injury to any person or damage to any property of a third party

d.

Theft of the insured vehicle

Discuss
Answer: (c).Death or bodily injury to any person or damage to any property of a third party Explanation:The insurance policy must cover death or bodily injury to any person or damage to any property of a third party under Section 147.
Q58.
When can an insurer be made a party to the proceedings of the Motor Accident Claims Tribunal, as per Section 149 of the MV Act?

a.

Only in cases of death

b.

Only if the claimant requests

c.

At the discretion of the Tribunal

d.

In all cases

Discuss
Answer: (d).In all cases Explanation:The insurer can be made a party to the proceedings of the Motor Accident Claims Tribunal in all cases, as per Section 149.
Q59.
What action is an insurer bound to take if a cover note issued is not followed by a policy within the prescribed time, according to Section 147 of the MV Act?

a.

Issue a warning to the insured

b.

Notify the fact to the concerned Registering Authority

c.

Cancel the cover note

d.

Increase the premium

Discuss
Answer: (b).Notify the fact to the concerned Registering Authority Explanation:If a cover note is not followed by a policy within the prescribed time, the insurer is bound to notify the fact to the concerned Registering Authority under Section 147.
Q60.
Under Section 161 of the MV Act, what liability do insurers have in hit and run cases where the identity of the vehicle cannot be ascertained?

a.

No liability

b.

Limited liability

c.

Liability to pay stipulated compensation

d.

Liability to pay only for property damage

Discuss
Answer: (c).Liability to pay stipulated compensation Explanation:In hit and run cases where the identity of the vehicle cannot be ascertained, insurers are liable to pay the stipulated compensation as per Section 161 of the MV Act.
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