Policyholder Rights of Assignment,Nomination and Transfer MCQs

Welcome to our comprehensive collection of Multiple Choice Questions (MCQs) on Policyholder Rights of Assignment,Nomination and Transfer, 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 Policyholder Rights of Assignment,Nomination and Transfer 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 Policyholder Rights of Assignment,Nomination and Transfer mcq questions that explore various aspects of Policyholder Rights of Assignment,Nomination and Transfer problems. Each MCQ is crafted to challenge your understanding of Policyholder Rights of Assignment,Nomination and Transfer 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 Policyholder Rights of Assignment,Nomination and Transfer 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 Policyholder Rights of Assignment,Nomination and Transfer. 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 Policyholder Rights of Assignment,Nomination and Transfer knowledge to the test? Let's get started with our carefully curated MCQs!

Policyholder Rights of Assignment,Nomination and Transfer MCQs | Page 9 of 11

Discover more Topics under IC 14 Regulations of Insurance Business

Q81.
What is the timeframe within which an insurance agent must deposit the premium collected on behalf of an insurer?

a.

Within 48 hours of collection.

b.

Within 24 hours of collection, excluding bank and postal holidays.

c.

Within 72 hours of collection.

d.

Within 12 hours of collection, excluding bank and postal holidays.

Discuss
Answer: (b).Within 24 hours of collection, excluding bank and postal holidays. Explanation:Section 64VB specifies that an insurance agent must deposit the premium collected with the insurer within 24 hours of collection, excluding bank and postal holidays.
Q82.
What relaxation does Rule 59 of the Insurance Rules 1939 provide for policies issued to Government and semi-Government bodies under Section 64VB?

a.

Premium payment within 30 days of policy issuance.

b.

Premium payment within 15 days of policy issuance.

c.

Premium payment within 60 days of policy issuance.

d.

Premium payment within 45 days of policy issuance.

Discuss
Answer: (a).Premium payment within 30 days of policy issuance. Explanation:Rule 59 exempts policies issued to Government and semi-Government bodies from immediate premium payment, allowing payment within 30 days of the date of intimation of the premium amount.
Q83.
According to Rule 59 of the Insurance Rules 1939, what provision is made for premium payment on policies under Sickness Insurance, Group Personal Accident Insurance, Medical Benefits Insurance, and Hospitalization Insurance Schemes?

a.

Premiums must be paid in full at policy issuance.

b.

Premiums may be paid in instalments within 15 days from the commencement of each period.

c.

Premiums must be paid within 7 days from the commencement of each period.

d.

Premiums must be paid within 30 days from the commencement of each period.

Discuss
Answer: (b).Premiums may be paid in instalments within 15 days from the commencement of each period. Explanation:Rule 59 allows premiums on specified insurance schemes to be paid in instalments within 15 days from the commencement of each period.
Q84.
For Fidelity Guarantee Insurance covering Government and semi-Government employees, when must the premium be paid according to Rule 59?

a.

At the time of policy issuance.

b.

Within 15 days from the date of appointment of the person covered by the policy.

c.

Within 30 days from the date of policy issuance.

d.

Within 60 days from the date of policy issuance.

Discuss
Answer: (b).Within 15 days from the date of appointment of the person covered by the policy. Explanation:Rule 59 allows Fidelity Guarantee Insurance policies to be issued without receipt of premium in advance, with the condition that the premium must be paid within 30 days from the date of appointment of the person covered by the policy.
Q85.
What provision does Rule 59 make for policies issued on the basis of adjustable premium, such as workmen’s compensation and cash in transit?

a.

Premium must be paid in full before assumption of risk.

b.

Provisional premium based on fair estimate is accepted.

c.

Premium payment within 30 days from policy issuance.

d.

Premium payment in instalments within 15 days from the commencement of each period.

Discuss
Answer: (b).Provisional premium based on fair estimate is accepted. Explanation:Rule 59 allows assumption of risk on policies issued on the basis of adjustable premium upon receipt of provisional premium based on a fair estimate.
Q86.
According to Rule 59 of the Insurance Rules 1939, what provision is made for annual insurances connected with aircraft hulls, other aviation risks, and marine hulls?

a.

Instalment payments not exceeding four in number may be allowed.

b.

Premiums must be paid in full at policy issuance.

c.

Premiums must be paid within 30 days from the commencement of each period.

d.

Premiums must be paid within 15 days from the date of policy issuance.

Discuss
Answer: (a).Instalment payments not exceeding four in number may be allowed. Explanation:Rule 59 allows facilities for delayed payment of premium or payment of premium by instalments, not exceeding four in number, for annual insurances connected with aircraft hulls, aviation risks, and marine hulls.
Q87.
Which of the following policies are eligible for relaxation from Section 64 VB under Rule 59 of the Insurance Rules 1939?

a.

Marine hull policies only.

b.

Policies issued for a period of more than one year, such as Machinery Erection policies.

c.

Personal accident insurance policies only.

d.

Health insurance policies.

Discuss
Answer: (b).Policies issued for a period of more than one year, such as Machinery Erection policies. Explanation:Policies issued for a period of more than one year, such as Machinery Erection policies, are eligible for relaxation from Section 64 VB under Rule 59 of the Insurance Rules 1939.
Q88.
What is the purpose of the Insurance Act, 1938?

a.

To regulate the banking sector.

b.

To consolidate and amend the law relating to the business of insurance.

c.

To govern the telecommunications industry.

d.

To oversee the transportation sector.

Discuss
Answer: (b).To consolidate and amend the law relating to the business of insurance. Explanation:The Insurance Act, 1938 consolidates and amends the law relating to the business of insurance. Its purpose is to regulate and standardize insurance practices.
Q89.
What amendments were carried out in the Insurance Act, 1938 at the time of passing the IRDA Act, 1999?

a.

Minor amendments.

b.

Major amendments.

c.

No amendments.

d.

Repeal of the entire Act.

Discuss
Answer: (b).Major amendments. Explanation:Major amendments were carried out in the Insurance Act, 1938 at the time of passing the IRDA Act, 1999, which brought significant changes to the insurance regulatory framework in India.
Q90.
What does the unit primarily focus on in relation to the Insurance Act, 1938?

a.

Claims settlement procedures.

b.

Regulatory requirements for insurers.

c.

Assignment, Nomination, and Prohibition of rebate, advance payment of premium, and Section 45.

d.

Investment strategies for insurance companies.

Discuss
Answer: (c).Assignment, Nomination, and Prohibition of rebate, advance payment of premium, and Section 45. Explanation:The unit primarily focuses on provisions related to policyholders, including Assignment, Nomination, and Prohibition of rebate, advance payment of premium, and Section 45 of the Insurance Act, 1938.
Page 9 of 11