C01 Introduction to Insurance MCQs

Welcome to our comprehensive collection of Multiple Choice Questions (MCQs) on C01 Introduction to Insurance, a fundamental topic in the field of IC38 Life Insurance Agent Exam. Whether you're preparing for competitive exams, honing your problem-solving skills, or simply looking to enhance your abilities in this field, our C01 Introduction to Insurance 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 C01 Introduction to Insurance mcq questions that explore various aspects of C01 Introduction to Insurance problems. Each MCQ is crafted to challenge your understanding of C01 Introduction to Insurance principles, enabling you to refine your problem-solving techniques. Whether you're a student aiming to ace IC38 Life Insurance Agent Exam tests, a job seeker preparing for interviews, or someone simply interested in sharpening their skills, our C01 Introduction to Insurance MCQs are your pathway to success in mastering this essential IC38 Life Insurance Agent Exam topic.

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C01 Introduction to Insurance MCQs | Page 10 of 10

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Q91.
How do insurers contribute to social security in India?

a.

By offering commercial insurance covers that have no relation to social security

b.

By providing insurance for government-sponsored schemes

c.

By not participating in social security schemes

d.

By competing with government schemes

Discuss
Answer: (b).By providing insurance for government-sponsored schemes Explanation:Insurers play an important role in social security schemes sponsored by the Government by providing insurance for various government schemes.
Q92.
Which of the following is a government-sponsored social security scheme in India?

a.

RSBY - Rashtriya Swasthya Bima Yojana

b.

VRS - Voluntary Retirement Scheme

c.

LPG - Liquified Petroleum Gas Subsidy

d.

GST - Goods and Services Tax

Discuss
Answer: (a).RSBY - Rashtriya Swasthya Bima Yojana Explanation:There are several government-sponsored social security schemes, including RSBY (Rashtriya Swasthya Bima Yojana).
Q93.
What is the ultimate objective of insurance covers offered on a commercial basis by the insurance industry?

a.

To maximize profits for insurance companies

b.

To benefit individual policyholders only

c.

To provide social security

d.

To compete with government-sponsored schemes

Discuss
Answer: (c).To provide social security Explanation:The ultimate objective of insurance covers offered on a commercial basis by the insurance industry is to provide social security.
Q94.
Which of the following insurance schemes are sponsored by the Government of India?

a.

PM Jan Arogya Yojana - Ayushmaan Bharat

b.

PM Fasal Bima Yojana

c.

PM Suraksha Bima Yojana

d.

All of the above

Discuss
Answer: (d).All of the above Explanation:PM Jan Arogya Yojana - Ayushmaan Bharat is a government-sponsored health insurance scheme. PM Fasal Bima Yojana is a government-sponsored crop insurance scheme. PM Suraksha Bima Yojana is a government-sponsored personal accident insurance scheme. All of the mentioned insurance schemes are sponsored by the Government of India.
Q95.
What is the primary purpose of insurance?

a.

Risk pooling

b.

Risk avoidance

c.

Risk control

d.

Risk retention

Discuss
Answer: (a).Risk pooling Explanation:Insurance is described as risk transfer through risk pooling.
Q96.
Where did commercial insurance business, as practiced today, begin?

a.

Wall Street, New York

b.

Lloyd's Coffee House, London

c.

Tokyo, Japan

d.

Frankfurt, Germany

Discuss
Answer: (b).Lloyd's Coffee House, London Explanation:Commercial insurance business started at the Lloyd's Coffee House in London.
Q97.
What are the essential components of an insurance arrangement?

a.

Risk and peril

b.

Asset, contract, and insurer

c.

Risk, contract, and insured

d.

Asset, risk, peril, contract, insurer, and insured

Discuss
Answer: (d).Asset, risk, peril, contract, insurer, and insured Explanation:The essential components of an insurance arrangement, include asset, risk, peril, contract, insurer, and insured.
Q98.
What is it called when persons with similar assets and risks contribute to a common pool of funds?

a.

Risk retention

b.

Risk avoidance

c.

Risk control

d.

Pooling

Discuss
Answer: (d).Pooling Explanation:Pooling is described as the practice where individuals with similar assets and risks contribute to a common pool of funds.
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