Chapt

er3I
C92. 2.
11.
19

1.Pr
ici
ngofi
nsur
ancepr
oduct
sisdi
rect
lyr
elat
edt
owhi
choft
hef
oll
owi
ng

A.I
ncomeoft
hei
ndi
vi
dual
s

B.Rev
enuel
evel
soft
hei
nsur
anceco.

C.Gui
del
i
nesoft
heFi
nanceMi
nist
ry

D.Taxbenef
it
spr
ovi
dedbyt
hegov
t.

E.Al
labov
e

2.Whi
chi
str
uei
nrespectofpr
ici
ng.

A.Pr
icei
sexpr
essedi
nter
msofpr
ici
ng.

B.Pri
cingofpr
oducti
sdir
ectl
yli
nkedt
orev
enuel
evel
sandhenceset
ti
ngpr
icesi
sani
mpor
tant
taskf
oranycommerci
alco.

C.Pr
ici
ngneedst
omakebot
hcompani
esf
inanci
alandmar
ket
ingaspi
rat
ions.

D.Bot
hAandB

E.A,
BandC

3.
Incaseofi
nsur
ancepr
oduct
stheequat
ionofv
aluecanbeexpr
essedas

A.Pr
esentv
alueofpr
emi
ums=pr
esentv
alueofbenef
it
spl
uspr
esentv
alueofexpenses

B.Pr
esentv
alueofpr
emi
ums=Fut
urev
alueofbenef
it
spl
usf
utur
eval
ueofexpenses.

C.Pr
esentv
alueofpr
emi
ums=benef
itpl
usexpenses

D.Pr
esentv
alueofpr
emi
ums=benef
it
s

E.None

4.Costofexpensesi
ncl
udeswhi
choft
hef
oll
owi
ng.

A.Pr
ocur
ementexpenses

B.Under
wri
ti
ngexpenses
C.Admi
nist
rat
iveexpenses

D.Legal
expenses

E.Mi
scex
penses

F.Al
labov
e

5.Expensesinvol
vedinassessi
ngtheheal
thst
atusofl
if
eassur
edf
inanci
alst
atusofl
i
fe
assur
edfinanci
alstat
usofpoli
cyholder
scomesunder.

A.Pr
ocur
ementexpenses

B.Under
wri
ti
ngexpenses

C.Admi
nist
rat
iveexpenses

D.Legal
expenses

E.Mi
scex
penses

6.Expensesf
orr
ender
ingser
vicet
othepol
i
cyhol
der
scomesunder

A.Pr
ocur
ementexp

B.Under
wri
ti
ngexpenses

C.Admi
nist
rat
iveexpenses

D.Legal
expenses

E.Mi
scex
penses

7.Expensesf
orst
ampdut
yandl
i
tigat
ionscost
scomesunder

A.Legal
expenses

B.Under
wri
ti
ngexpenses

C.Admi
nist
rat
iveexpenses

D.Pr
ocur
ementexpenses

E.Mi
scex
penses
8.Inpr
ici
ngofi
nsur
ancepr
oduct
sexpensesr
elat
edt
oadv
ert
isement
sRei
nsur
anceandt
axes
ar
econsider
edas

A.Legal
expenses

B.Under
wri
ti
ngexpenses

C.Admi
nist
rat
iveexpenses

D.Pr
ocur
ementexpenses

E.Mi
scex
penses

9.Theusual
pract
iceofest
imat
ingexpensesi
stor
elat
ethei
rcal
cul
ati
ont
o

A.Pr
emi
ums

B.Perpol
i
cy

C.Per1000SI

D.Al
labov
e

E.AandB

10.Whi
choft
hef
oll
owi
ngi
snotanexampl
eofi
nit
ial
expenses.

A.Tr
anspor
texpenses

B.Medi
aexpenses

C.Sal
aryexpenses

D.Expensesf
orunder
wri
ti
ng

E.Cl
aimsexpenses

11.I
nsur
ersi
nsi
stonmedi
cal
exami
nat
ionandr
epor
tsi
nwhi
chsi
tuat
ion

A.Wher
etheSAar
ever
yhi
gh

B.Wher
ethepr
emi
um i
sver
yhi
gh
C.Wher
etheageofassur
edi
sver
yhi
gh

D.Wher
ethecl
aimsi
npr
evi
ousy
earwasv
eryhi
gh

E.Bot
hAandC

12.
Whi
chi
str
uei
nrespectofmedi
cal
expenses

A.Medi
cal
expensesar
ebor
nebyt
hei
nsur
erst
oassesst
hemor
tal
i
tyr
iskofl
i
feassur
ed.

B.I
nlongr
unmedi
cal
expensesar
eincl
udedi
nini
ti
alexpenses

C.Ahighsum assur
edcaser esumesi
mpor
tancebecausei
nsur
ershast
oincurhi
gherout
goi
n
caseofadver
seclai
m exper
ience

D.Underwr
it
ermaychooseanonmedi
cal
casef
ormedi
cal
exami
nat
ionbecauseofadv
erse
habi
tsli
kesmoki
ngdri
nkingl
iquor
.

E.Al
labov
e

13.I
dent
if
ythecor
rectst
atement

A.Cl
aim expensesi
ncl
udecosti
nvol
vedi
nset
ti
ngcl
aimsbymat
uri
tyanddeat
hofl
i
feassur
ed

B.Expensesi
ncur
redi
nlegal
casesagai
nsti
nsur
ersf
orr
eject
ingt
hecl
aim wi
l
lcomeunder
cl
aimsexpenses

C.I
ncaseofearlyclai
msbydeathi
nsur
ersusual
l
yinv
est
igat
ethecaseandmayi
ncur
i
nvest
igat
ioncostforthesame

D.ABC

E.A&Conl
y

14.Theequat
ionf
orexpensemayber
epr
esent
edas

A.E=EE+RE

B.E=SE+RE

C.E=SE+CE

D.E=FE+SE
E.E=FE+RE

15.I
nsur
ersconsi
dert
hef
oll
owi
ngwhi
l
edet
ermi
ningt
hemi
nimum &opt
imum si
zeofpol
i
cy

A.Theexpect
edv
olumesofbusi
nessi
nnext5y
rs

B.Expect
edf
inanci
alst
rai
nresul
ti
ngf
rom gener
ati
onofnewbusi
ness

C.Expect
edpr
ofi
t

D.Desi
gnpr
oductsi
zeofpopul
ati
onsi
zeofcov
erser
vicepr
ovi
sion

E.Al
labov
e

16.Whi
choft
hef
act
orsment
ionedbel
owdoesnotaf
fectt
heexpect
edv
olumeofbusi
ness

A.Compet
it
orr
ate&Av
ail
abi
l
ityofsi
mil
arpr
oduct
s

B.Compet
encyofdi
str
ibut
ionchannel
s&sal
esst
afft
osel
lthepr
oduct

C.Tot
ali
nsur
abl
epopul
ati
onf
ort
hei
nsur
er

D.Age&i
ncomepr
ofi
l
eofpeopl
e

E.None

17.I
nsurancecompani
esi
mageoft
rust&goodmar
ketst
andi
ngar
enotdependentonwhi
chof
thef
oll
owingfact
ors

A.Ef
fi
ciencyofdi
str
ibut
ors

B.Ef
fi
ciencyofsal
esst
aff

C.Ef
fi
ciencyofAdmi
nist
rat
ivest
aff

D.Ef
fi
ciencyofr
egul
ator
s

E.Lev
eloff
inanci
alasset
s

18.Whi
l
edet
ermi
ningt
heexpect
edv
olumeofbusi
nesst
hei
nsur
ersusual
l
yconsi
der

A.Desi
gnofpr
oduct
B.Si
zeofpopul
ati
on

C.Si
zeofpr
emi
um/
cov
er

D.ser
vicepr
ovi
sion

E.Al
labov
e

19.Thecr
eat
ionofi
mageoft
rust&Goodmar
ketst
andi
ngbyt
hei
nsur
erdependsupon

A.Thel
evel
off
inanci
alasset
soft
hei
nsur
er

B.Lev
eloft
rai
ningpr
ovi
dedt
osal
esst
aff

C.Rat
ingpr
ovi
dedbyI
RDA

D.A&B

E.None

20.Medi
cal
expensesofapr
ospect
ivei
nsur
ancecust
omerar
ebor
nebyt
hei
nsur
ersas

A.I
tisar
egul
ator
yrequi
rement
s

B.I
nsur
ersar
ecommi
tt
edt
owar
dspr
omot
ingbestheal
thpol
i
cies

C.I
nsur
ersar
eint
erest
edi
nassessi
ngt
hechancest
hatt
hel
i
feassur
edwi
l
lnotsur
viv
e

D.
Heal
thcheckupsr
educet
hepr
emi
um i
ncomef
ori
nsur
ers

E.Pr
ovi
dingbenef
it
/ext
raadv
ant
aget
othecust
omer

21.Fori
nsur
erswhohavecompl
eted10yrssinceregi
str
ati
onasani
nsur
ert
hecommi
ssi
on
payment&premi
um r
eceiv
ablei
nthefi
rstyrshall
notexceed_
_

A.40%

B.50%

C.35%

D.45%

E.30%
22.Underwhi
cht
ypeofpaymentofpremi
um t
heno.Ofpr
emi
um pay
ment
sismor
ethanone
butl
imit
edto2ormoreannual
premiums

A.Par
ti
alpr
emi
um pay
ment
s

B.Regul
arpr
emi
um pay
ment
s

C.Li
mit
edpr
emi
um pay
ment
s

D.I
nit
ial
premi
um pay
ment
s

E.None

23.i
dent
if
ythei
ncor
rectst
atement

A.Commi
ssi
onpay
menti
susual
l
yexpr
essedasA%oft
hepr
emi
um

B.Commi
ssi
onpay
menti
susual
l
yex
pressedasA%oft
heSI

C.Regul
atorhasl
i
ber
tyt
oputcapont
his%

D.I
nIndi
acommissi
onpay
abl
eonasi
ngl
epr
emi
um pol
i
cycannotexceed2%oft
hesi
ngl
e
pr
emium pay
ment

E.Fori
nsur
erswhocompleted10yearssinceregi
strat
ionasaninsur
ert
hecommi
ssi
on
paymentonthepr
emium r
eceivabl
einthe1y earshall
notexceed5%

24.
Ident
if
ytheoddone

A.
Procur
ementexpenses

B.
Under
wri
ti
ngexpenses

C.
Admi
nist
rat
iveexpenses

D.
Incomeexpenses

E.
Legal
expenses

25.
ABCLt
dhasi
ncur
redexpensesonheal
thcheckofMr
.Ashok.
Thi
sexpensecomeunder

A.
Procur
ementexpenses
B.
Under
wri
ti
ngexpenses

C.
Admi
nist
rat
iveexpenses

D.
Miscel
l
aneousexpenses

E.
Legal
expenses

23.i
dent
if
ythei
ncor
rectst
atement

A.Commi
ssi
onpay
menti
susual
l
yexpr
essedasA%oft
hepr
emi
um

B.Commi
ssi
onpay
menti
susual
l
yex
pressedasA%oft
heSI

C.Regul
atorhasl
i
ber
tyt
oputcapont
his%

D.I
nIndi
acommissi
onpay
abl
eonasi
ngl
epr
emi
um pol
i
cycannotexceed2%oft
hesi
ngl
e
pr
emium pay
ment

E.Fori
nsur
erswhocompleted10yearssinceregi
strat
ionasaninsur
ert
hecommi
ssi
on
paymentonthepr
emium r
eceivabl
einthe1y earshall
notexceed5%

24.
Ident
if
ytheoddone

A.
Procur
ementexpenses

B.
Under
wri
ti
ngexpenses

C.
Admi
nist
rat
iveexpenses

D.
Incomeexpenses

E.
Legal
expenses

26.
Theusual
pract
iceofest
imat
ingexpensesi
stor
elat
ethei
rcal
cul
ati
ont
o

(
i)Pr
emi
um

(
ii
)PerPol
i
cy

(
ii
i)
Per1l
acSA

(
iv)
Per1000SA
A.
onl
y(i
)

B.
onl
y(i
i
i)

C.
(i
),
(i
i)
,&(
ii
i)

D.
(i
),
(i
i)
,(
iv)

27.
Mr.Johnpurchasedaninsurancepol
i
cyof10year
sforasum assur
edofRs.
10l
acs.
Hepai
d
a1timepremium ofRs.80000.Thisi
satypeof

A.
Limi
tedPr
emi
um pay
ment

B.
Regul
arPr
emi
um pay
ment

C.
Singl
ePr
emi
um pay
ment

D.
None

E.
All

28.
Mr.Johnpur
chasedani
nsur
ancepoli
cyforaperi
odof10year
sforasum assuredofRs.
10
l
acs.Hewill
havetopayapr
emium ofRs.
25000foraper
iodof3year
s.Thi
sisat y
peof

A.
Limi
tedPr
emi
um pay
ment

B.
Regul
arPr
emi
um pay
ment

C.
Singl
ePr
emi
um pay
ment

D.
None

E.
All

29.
Mr.
Johnpur
chasedaninsurancepol
i
cyof10year
sf orasum assur
edofRs.
10l
acs.
Hewi
l
l
hav
etopayapremium ofRs.
25000foraper
iodof9years.Thi
sisatypeof

A.
Limi
tedPr
emi
um pay
ment

B.
Regul
arPr
emi
um pay
ment

C.
Singl
ePr
emi
um pay
ment

D.
None
E.
All

30.
Thecostofst
ampwhi
chneedst
obeaf
fi
xedonani
nsur
ancecont
ractofRs.
130000i
s

A.
Rs.
24

B.
Rs.
25

C.
Rs.
26

D.
Rs.
36

E.
Rs.
46

31.
Ident
if
ytheoddone

A.
Compet
it
orsRat
es

B.
Compet
it
orsAge

C.
Avai
l
abi
l
ityofsi
mil
arpr
oduct
s

D.
Age&i
ncomepr
ofi
l
eofpeopl
e

E.
Compet
encyofdi
str
ibut
ionchannel
sandsal
esst
afft
osel
lthepr
oduct
s

32.
Ident
if
ytheoddone

Ai
ndi
vi
dual
nonpar

B.
groupsav
ingsnonpar

C.
fundbasedgr
oupnonpar

D.
li
nkedi
ndi
vi
dual
nonpar

E.
indi
vi
dual
par

33.
UnderPar
ti
cipat
ingpr
oductt
hebonusaccr
ual
sdur
ingt
het
erm shal
lbe

1.
regul
arbonusshal
lbedecl
aredonbi
annual
basi
s
2.I
nter
im bonusshall
bedecl
aredatt
heannual
val
uat
ionper
iodwhi
chshal
lbepay
abl
edur
ing
theint
ervaluat
ionperi
od

3.
Terminalbonusi
fanydecl
aredshal
lbecomepay
abl
eont
hespeci
fi
edev
entagr
eedi
nthe
pol
icyorattheendoft
heter
m ofthepoli
cy.

A.
Stat
ement1,
2ar
etr
ue

B.
Stat
emenr1,
3ar
etr
ue

C.
Stat
ement1f
alse2t
rue

D.
Stat
ement2,
3ar
efal
se

E.
Stat
ement1f
alse2,
3ar
etr
ue

34.Themini
mum deat
hbenef
itf
oral
i
feassur
edagel
esst
han45y
ear
sforasi
ngl
epr
emi
um
producti
s

A.Hi
ghestof110%ofthesi
ngl
epremium ormi
nimum guar
ant
eedsum assur
edonmat
uri
tyor
anyabsol
uteamountassur
edtobepaidondeat
h

B.Hi
ghestof150%ofthesi
ngl
epremi
um ormi
nimum guar
ant
eedsum assur
edonmat
uri
tyor
anyabsol
uteamountassur
edtobepai
dondeat
h

C.A.
Highestof115%oft
hesingl
epr
emium ormi
nimum guar
ant
eedsum assur
edonmat
uri
tyor
anyabsolut
eamountassur
edtobepai
dondeath

D.A.
Highestof125%oft
hesingl
epr
emium ormi
nimum guar
ant
eedsum assur
edonmat
uri
tyor
anyabsolut
eamountassur
edtobepai
dondeath

35.Themini
mum deat
hbenef
itf
oral
i
feassur
edageabov
e45y
ear
sforasi
ngl
epr
emi
um
producti
s

A.Hi
ghestof110%ofthesi
ngl
epremium ormi
nimum guar
ant
eedsum assur
edonmat
uri
tyor
anyabsol
uteamountassur
edtobepaidondeat
h

B.Hi
ghestof150%ofthesi
ngl
epremi
um ormi
nimum guar
ant
eedsum assur
edonmat
uri
tyor
anyabsol
uteamountassur
edtobepai
dondeat
h

C.A.
Highestof115%oft
hesingl
epr
emium ormi
nimum guar
ant
eedsum assur
edonmat
uri
tyor
anyabsolut
eamountassur
edtobepai
dondeath

D.
A.Hi
ghestof125%oft
hesi
ngl
epr
emi
um ormi
nimum guar
ant
eedsum assur
edonmat
uri
tyor
anyabsol
uteamountassur
edt
obepai
dondeat
h

E.
none

36.
Ident
if
ytheoddone

A.
Singl
ePr
emi
um pay
ment

B.
Limi
tedPr
emi
um pay
ment

C.
Regul
arPr
emi
um pay
ment

D.
Mul
ti
plePr
emi
um pay
ment

E.
none

37.
For
mul
amet
hod&cashf
lowmet
hodar
eknownas

A.
Met
hodofUnder
wri
ti
ng

B.
Met
hodofExpensecal
cul
ati
on

C.
Met
hodofbenef
it

D.
Met
hodofPr
ici
ng

Enone

38.Themini
mum deathbenef
itf
orali
feassur
edagel
esst
han45y ear
sf orot
hert
hansingle
premium pr
oductwher
ethepoli
cyt
ermisequalt
oormorethan10yearsNonParti
cipat
ing
Product

A.Hi
ghestof10t
imestheannual
i
zedpr
emium or105%ofal
lpremi
umspai dasondat
eof
deat
hormi ni
mum guar
ant
eedSAonmat ur
it
yoranyabsol
uteamountassuredt
obepaidon
deat
h

B.Hi
ghestof20t
imestheannual
i
zedpremi
um or105%ofallpr
emiumspai
dasondat
eofdeat
h
ormini
mum guarant
eedSAonmat ur
it
yoranyabsol
uteamountassur
edt
obepai
dondeat
h

C.Hi
ghestof10t
imestheannual
i
zedpr
emium or115%ofal
lpremi
umspai dasondat
eof
deat
hormi ni
mum guar
ant
eedSAonmat ur
it
yoranyabsol
uteamountassuredt
obepaidon
deat
h
D.Hi
ghestof10t
imestheannual
i
zedpr
emium or125%ofal
lpremi
umspai dasondat
eof
deat
hormi ni
mum guar
ant
eedSAonmat ur
it
yoranyabsol
uteamountassuredt
obepaidon
deat
h

E.
Highestof30t
imestheannual
i
zedpremi
um or105%ofall
premiumspai
dasondat
eofdeat
h
ormini
mum guarant
eedSAonmat ur
it
yoranyabsol
uteamountassur
edt
obepai
dondeat
h

39.Themini
mum deathbenef
itf
orali
feassur
edagemor
ethan45y
earsforot
herthansi
ngle
premium pr
oductwher
ethepoli
cyt
ermisequalt
oormoret
han10year
sNonPar t
ici
pati
ng
Product

A.Hi
ghestof10t
imestheannual
i
zedpr
emium or105%ofal
lpremi
umspai dasondat
eof
deat
hormi ni
mum guar
ant
eedSAonmat ur
it
yoranyabsol
uteamountassuredt
obepaidon
deat
h

B.Hi
ghestof20t
imestheannual
i
zedpremi
um or105%ofallpr
emiumspai
dasondat
eofdeat
h
ormini
mum guarant
eedSAonmat ur
it
yoranyabsol
uteamountassur
edt
obepai
dondeat
h

C.Hi
ghestof10t
imestheannual
i
zedpr
emium or115%ofal
lpremi
umspai dasondat
eof
deat
hormi ni
mum guar
ant
eedSAonmat ur
it
yoranyabsol
uteamountassuredt
obepaidon
deat
h

D.Hi
ghestof10t
imestheannual
i
zedpr
emium or125%ofal
lpremi
umspai dasondat
eof
deat
hormi ni
mum guar
ant
eedSAonmat ur
it
yoranyabsol
uteamountassuredt
obepaidon
deat
h

E.
Highestof7t
imestheannual
i
zedpr
emium or105%ofall
premiumspai
dasondat
eofdeat
h
ormini
mum guarant
eedSAonmaturi
tyoranyabsol
uteamountassur
edt
obepai
dondeat
h

40..
Theminimum deat hbenefi
tforali
feassur
edagelesst
han45year
s&agedmorethan45
yearsf
orothert
hansi ngl
epr emium pr
oductwher
ethepoli
cyter
misequal
toormorethan10
yearsNonParti
cipat
ingProduct

A.Hi
ghestof10t
imestheannual
i
zedpr
emium or105%ofal
lpremi
umspai dasondat
eof
deat
hormi ni
mum guar
ant
eedSAonmat ur
it
yoranyabsol
uteamountassuredt
obepaidon
deat
h

B.Hi
ghestof20t
imestheannual
i
zedpremi
um or105%ofallpr
emiumspai
dasondat
eofdeat
h
ormini
mum guarant
eedSAonmat ur
it
yoranyabsol
uteamountassur
edt
obepai
dondeat
h

C.Hi
ghestof10t
imestheannual
i
zedpr
emium or115%ofal
lpremi
umspai dasondat
eof
deat
hormi ni
mum guar
ant
eedSAonmat ur
it
yoranyabsol
uteamountassuredt
obepaidon
deat
h

D.Hi
ghestof10t
imestheannual
i
zedpr
emium or125%ofal
lpremi
umspai dasondat
eof
deat
hormi ni
mum guar
ant
eedSAonmat ur
it
yoranyabsol
uteamountassuredt
obepaidon
deat
h

E.
Highestof7t
imestheannual
i
zedpr
emium or105%ofall
premiumspai
dasondat
eofdeat
h
ormini
mum guarant
eedSAonmaturi
tyoranyabsol
uteamountassur
edt
obepai
dondeat
h

41.
Themi
nimum SAf
orage@ ent
rybel
ow45y
ear
sforLi
feSi
ngl
epr
emi
um pr
oduct
s

A.
110%ofSP

B.
120%ofSP

C.
125%ofSP

D.
130%ofSP

E.
140%ofSP

42.Theminimum SAforage@ ent

rybel
ow45y
ear
sforLi
feRegul
arPr
emi
um i
ncl
udi
ngl
i
mit
ed
Premium payi
ngproduct
s

A.
20t
imesannual
i
zedpr
emi
umsor0.
5xTxannual
i
zedpr
emi
um whi
chev
eri
shi
gher

B.
30t
imesannual
i
zedpr
emi
umsor0.
5xTxannual
i
zedpr
emi
um whi
chev
eri
shi
gher

C.
40t
imesannual
i
zedpr
emi
umsor0.
5xTxannual
i
zedpr
emi
um whi
chev
eri
shi
gher

20t
imesannual
i
zedpr
emi
umsor0.
5xTxannual
i
zedpr
emi
um whi
chev
eri
shi
gher

D.
10t
imesannual
i
zedpr
emi
umsor0.
5xTxannual
i
zedpr
emi
um whi
chev
eri
shi
gher

E.None

43.
Themini
mum SAforage@ entr
ybel
ow45y
ear
sforHeal
thRegul
arPr
emi
um i
ncl
udi
ng
l
imi
tedPr
emium pay
ingproduct
s

A.
5ti
mesannual
i
zedpr
emi
umsor1l
acperannum whi
chev
eri
shi
gher

B.
10t
imesannual
i
zedpr
emi
umsor1l
acperannum whi
chev
eri
shi
gher
C.
10t
imesannual
i
zedpr
emi
umsor10l
acperannum whi
chev
eri
shi
gher

D.
5ti
mesannual
i
zedpr
emi
umsor1l
acperannum whi
chev
eri
shi
gher

E.None

44.
Thedeat
hbenef
itf
orv
ari
abl
einsur
ancepr
oductcanbe

(
i)Hi
gherofpol
i
cyaccountv
alueorSA

(
ii
)Sum ofpol
i
cyaccountv
alueorSA

A.
Stat
ement1,
2fal
se

B.
Stat
ement1t
rue

C.
Stat
ement1f
alse&2t
rue

Dst
atement2f
alse

E.
bot
hst
atementar
etr
ue

45.
Themi
nimum pol
i
cyt
erm woul
dbe

(
i)f
ori
ndi
vi
dual
product
sshal
lbeat
least6y
ear
s

(
ii
)forf
undbasedgr
ouppr
oduct
sshal
lbeonannual
l
yrenewabl
ebasi
s

A.
Stat
ement1,
2fal
se

B.
Stat
ement1t
rue

C.
Stat
ement1f
alse&2t
rue

Dst
atement2f
alse

E.
bot
hst
atementar
etr
ue

46.Othert
hanpensionproduct-Commissi
on(1)Br
okersshal
lbe(i
)30%i nthefi
rstyearf
or
poli
ci
eswi t
hpremium payingter
m of10&above&(ii
)5%inthesubsequentyear
sf oral
l
premium payi
ngter
ms

2.Duri
ngt
hef
ir
st10year
sofalif
einsurer
sbusinessf
oralli
nter
mediar
iesexceptf
orbr
oker
shall
be50%i
nthefi
rsty
earofpoli
cieswi
thpremium pay
ingter
m of12&abov e
A.
Stat
ement1t
rue

B.
Stat
ement2t
rue

C.
Stat
ement1f
alse&2t
rue

Dst
atement2f
alse

E.
stat
ement1t
rue&2f
alse

47.I
tist
heper
cent
ageoft
hepr
emi
um appr
opr
iat
edt
owar
dschar
gesf
rom t
hepr
emi
um
recei
ved

A.
thi
sist
ruef
orf
undmanagementchar
ge

B.
thi
sist
ruef
orGuar
ant
eechar
ge

C.
thi
sist
ruef
orpol
i
cyadmi
nist
rat
ionchar
ge

D.
thi
sist
ruef
orswi
tchi
ngchar
ge

E.
thi
sist
ruef
orpr
emi
um al
l
ocat
ionchar
ge

48.MR.
ROHI
TBUYSANINSURANCEPOLI
CYFORSUMINSUREDOFRS.
1000000.
HEPAYSBI
ANNUALLYAPREMI
UM OFRS.
5000.
WHATISTHETOTALPREMI
UM PERANNUM

A.
RS.
5000

B.
RS.
15000

C.
RS.
10000

D.
RS.
100000

E.
RS.
20000

49.MR.SOHANPURCHASEDANI NSURANCEPOLICYFORTHEPERIODOF3YEARSFORSAOF
RS.20,
00,
000.HEWILLBEREQUI
RETOPAYRS. 30000PREMI
UM FORTHEPOLI
CYFOR3
YEARS.COMMISSI
ONTOTHEAGENTI NTHEFI
RSTYEARI S30%OFTHEPREMIUM PAI
DAND
7.
5%OFPREMI UM I
NTHE2ND&3RDYEAR. CALCULATETHETOTALCOMMISSIONPAYABLE.

A.
10000
B.
13500

C.
14500

D.
16200

E.
17800

50.
CALCULATETHEFIRSTYEAREXPENS,
INI
TIALCOSTOFPROCUREMENTRS. 10000,
PREMIUM RECEI
VABLEI
NTHEFIRSTYEARRS.1000I
NITIALPREMI
UM RELATEDEXPENSE
2%.CONSTANTEXPENSEPERPOLICYOFUNI
TSUM INSUREDRS.1000ANDCOST
I
NDEPENDENTOFPREMI UM ANDSAPERPOLICYISRS.500

A.
RS.
11520

B.
RS.
17000

C.
RS.
15500

D.
RS.
16000

E.
RS.
18500

FE=1+X%OFP+C+K=10000+(
2%OF10000)
+1000+500=11520

51.THEI MAGEOFANI NSURANCECOMPANYDEPENDSUPON( 1)THEEFFI

CIENCYOF
DISTRIBUTORS(ii
)THEEFFICI
ENCYOFSALESSTAFF(i
ii
)THEEFFI
CIENCYOF
ADMI NISTRATI
VESTAFF(iv
)THELEVELOFFINANCIALASSETS

A.
ONLY(
i)

B.
ONLY(
ii
)&(
iv)

C.
ONLY(
ii
i)

D.
ONLY(
ii
)&(
ii
i)

E.
ALLABOVE

52.REI
NSURANCEANDTAXESAREPARTOF
A.
LEGALEXPENSES

B.
ADMI
NISTRATI
VEEXPENSES

C.
UNDERWRI
TINGEXPENSES

D.
PROCUREMENTEXPENSES

E.
MISCELLANEOUSEXPENSES

52.
IDENTI
FYTHECORRECTONEWI THRESPECTOTMINIMUM SAFOR(i
)LI
FESI
NGLE
PREMIUM PRODUCTS(
ii
)LI
FEREGULARPREMIUM I
NCLUDI
NGLIMITEDPREMI
UM PAYI
NG
PRODUCTSFORAGEATENTRYABOVE45YEARS

A.
(i
)110%OFSP(
ii
)7TIMESANNUALI
ZEDPREMIUMSOR0.
25xTxANNUALI
ZEDPREMI
UM
WHICHEVERI
SHIGHER(i
i
i)5TI
MESANNUALI
ZEDPREMI
UM OR100000PERANUUM
WHICHEVERI
SHIGHER

B.(
i)120%OFSP(
ii
)7TI
MESANNUALIZEDPREMIUMSOR0.
25xTxANNUALIZEDPREMI
UM
WHICHEVERISHI
GHER(i
ii
)5TI
MESANNUALIZEDPREMI
UM OR100000PERANUUM
WHICHEVERISHI
GHER

C.(
i)110%OFSP(
ii
)10TI
MESANNUALI
ZEDPREMIUMSOR0.25xTxANNUALI
ZEDPREMI
UM
WHICHEVERISHI
GHER(i
ii
)5TI
MESANNUALI
ZEDPREMI
UM OR100000PERANUUM
WHICHEVERISHI
GHER

D.
(i
)110%OFSP(
ii
)7TIMESANNUALI
ZEDPREMIUMSOR0.
05xTxANNUALI
ZEDPREMI
UM
WHICHEVERI
SHIGHER(i
i
i)5TI
MESANNUALI
ZEDPREMI
UM OR100000PERANUUM
WHICHEVERI
SHIGHER

E.
NONEOFTHEABOVE.

54.
FOROTHERTHANPENSI
ONPRODUCTCOMMI
SSI
ONONSPI
S
A.
3%OFSP

B.
5%OFSP

C.
6%OFSP

D.
10%OFSP

E.
2%OFSP

55.
FOROTHERTHANPENSI
ONPRODUCTCOMMI SSI
ONI
NCASEOFOTHERTHANSI
NGLE
PREMI
UM FORTHEPREMI
UM PAYI
NGTERM OF5YEARI
NTHEFI
RSTYEARI
S

A.
0.1

B.
0.12

C.
0.14

D.
0.26

E.
15%

56.
FORPENSI
ONPRODUCTSCOMMI SSI
ON–(i
)INCASEOFSP2%OFSP(2)I
NCASEOF
OTHERTHANSINGLEPREMI
UM (
a)7.
5%OFFYPREMIUM (
b)2%ONEACHRENEWAL

A.
STATEMENT1I
STRUE

B.
STATEMENT2I
STRUE

C.
STATEMENT1I
SFALSE2TRUE

D.
STATEMENT2FALSE

E.
BOTHTHESTATEMENTSARETRUE

57.
IDENTI
FYTHEODDONEINRESPECTTOTHEMORTALI
TY/
MORBI
DITYCHARGEFORTHE
MORTALITY/
MORBI
DITYRI
SKCOVEREDSHALL

A.
ONLYREFLECTTHEPURERI
SKCHARGESFORTHECOVEROFFEREDANDSHALLNOT
I
NCLUDEANYALLOWANCEFOREXPENSESORANYOTHERPARAMETERS
B.
BEREASONABLEANDCONSI
STENTWI
THTHEPRESCRI
BEDMORTALI
TYTABLESOR
MORBI
DITYTABLESI
FANY

C.
BEDEMONSTRATEDWI
THTHESUPPORTOFI
NSURERSOWNEXPERI
ENCEWHEREVER
APPLI
CABLE

D.
BEEXPRESSEDASRS.
100SUM ATRI
SKFOREACHAGE

E.
BEEXPRESSEDASRS.
1000SUM ATRI
SKFOREACHAGE

58.
SURRENDERVALUEFOROTHERTHANSPPRODUCTS( i
)30%OFTHETOTALPREMI UMS
PAIDLESSANYSURVIVALBENEFITSALREADYPAI
D,I
FSURRENDEREDBETWEENTHE
SECONDANDTHI RDYEAR(i
i)50%OFTHETOTALPREMIUM PAI
DLESSANYSURVI VAL
BENEFITSALREADYPAI
D,I
FSURRENDEREDBETWEENFOURTHANDSEVENTHYEAROFTHE
POLICY(i
ii
)100%OFTHETOTALPREMIUMSPAIDLESSANYSURVIVALBENEFI
TSALREADY
PAID,I
FSURRENDEREDDURINGLASTTWOYEARSOFTHEPOLI CY,IFTHETERM OFTHE
POLICYISLESSTHAN7YEARS.

A.
STATEMENT(
i)TRUE

B.
STATEMENT(
i)&(
ii
)TRUE

C.
STATEMENT(
ii
i)TRUE

D.
STATEMENT(
i)&(
ii
i)TRUE

E.
STATEMENT(
i)&(
ii
)TRUE&(
ii
i)FALSE

59.
MR.SURYADI
SCONTINUEDHI
SPOLI
CYINTHE4THYEAR,HEHADANNUALPREMIUM
PAYINGPOLI
CYGREATERTHANRS.
25000.
WHATWILLBETHEMAXIMUM DI
SCONTI
NUANCE
CHARGE

A.
LOWEROF10%*
(APORFV/
POLI
CYACCOUNTVALUE)SUBJECTTOAMAXI
MUM OF
RS.
2000

B..
LOWEROF10%*
(APORFV/
POLI
CYACCOUNTVALUE)SUBJECTTOAMAXI
MUM OF
RS.
3000

C..
LOWEROF15%*
(APORFV/
POLI
CYACCOUNTVALUE)SUBJECTTOAMAXI
MUM OF
RS.
3000

D.LOWEROF15%*
(APORFV/
POLI
CYACCOUNTVALUE)SUBJECTTOAMAXI
MUM OF
RS.3000

E..
LOWEROF2%*
(APORFV/
POLI
CYACCOUNTVALUE)SUBJECTTOAMAXI
MUM OF
RS.
2000

60.
FORMONTHLYPREMI
UM MODEWHENCANI
NSURANCECOMPANYACCEPT3MONTHS
PAYMENTI
NADVANCE

A.
NEVER

B.
INMI
DOFTHEPOLI
CYPERI
OD

C.
ONLYDURI
NGTHESTARTOFTHEPOLI
CYPERI
OD

D.
NEEDMOREI
NFORMATI
ON

E.
ANY

61.
ASPERI
NSURANCEREGULATI
ON2013,
NOW YOUCANHAVECLEARI
DEAABOUTHOW
MUCHYOUAREPAYINGTOWARDSTAXANDHOW MUCHWILLGOTOWARDSPREMIUM

A.
THI
SISTRUEASNOSERVI
CETAXWI
LLBETAKEN

B.
THI
SISTRUEASSERVI
CETAXWI
LLBEI
NCLUDEDI
NTHEPREMI
UM

C.
THI
SISFALSE

D.
THISISTRUEASSERVI
CEATAXWI
LLBECOLLECTEDOVERANDABOVETHE
CONTRACTUALPREMIUM

E.
NONE

62.
ASPERINSURANCEREGULATI
ON2013,
THENEW MORTALITYTABLEWHICHWOULDBE
REFERREDTOIS(
1)ULTI
MATEMORTALI
TYRATES(
2)IRDA’
SINDIANASSUREDLI
VES
MORTALITY

A.
STATEMENT1I
STRUE
B.
STATEMENT2I
STRUE

C.
BOTHTHESTATEMENTAREFALSE

D.
STATEMENT1I
SFALSEANDSTATEMENT2TRUE

E.
NONE

63.FORLI
NKEDCHILD POLI
CIESONECANNOTWI
THDRAW THEPOLI
CYUNTI
LMI
NOR
I
NSUREDATTAINSTHEAGEOF18YEARS

A.
0

B.
MAYBE

C.
NEEDMOREI
NFORMATI
ON

D.
TRUE

E.
ANY

64.
(1)FORLI
NKEDPOLICYSAMEDAYNAVWI LLBEAPPLICABLEI
FPREMIUM RECEI
VED
BEFORE5PM (2)NEXTDAYNAVWILLBEAPPLICABLEI
FPREMIUM RECEI
VEDAFTER3PM

A.
STATEMENT1TRUE

B.
STATEMENT2FALSE

C.
STATEMENT1&2FALSE

D.
STATEMENT1I
SFALSEANDSTATEMENT2TRUE

65.
MR.
YASHWANTSTOAVAI
LLOANONHI
SLI
NKEDPOLI
CY.CANHEDOSO

A.
YESHECAN

B.
MAYBE

C.
NEEDMOREI
NFORMATI
ON

D.
NO,ASPERCHANGESINTHEI
NSURANCEREGUALATI
ON2013,
LOANWI
LLNOTBE
AVAI
LABLEUNDERLI
NKEDPOLI
CY

E.
ANY
66.
FORLI
NKEDPOLI
CYWHENCANPARTI
ALWI
THDRAWALBEDONE

A.
2YEARS

B.
3YEARS

C.
4YEARS

D.
5YEARS

E.
NEVER

67.
THI
SISTHEPERI
ODOF2CONSECUTI
VEYEARSFROM THEDATEOFDI
SCONTI
NUANCEOF
THEPOLI
CY

A.
LOCKI
NPERI
OD

B.
CHARGES

C.
REVI
VALPERI
OD

D.
GUARANTEECHARGE

E.
NONE

68.
THISI
STHECOSTOFLIFE/
HEALTHI
NSURANCECOVERANDI
SEXCLUSI
VEOFANY
EXPENSELOADI
NGSLEVI
EDBYCANCELLATI
ONOFUNITS

A.
FUNDMANAGEMENTCHARGE

B.
GUARANTEECHARGE

C.
PREMI
UM ALLOCATI
ONCHARGE

D.
MORTALI
TY/
MORBI
DITYCHARGE

E.
ALL

69.
THISCHARGECOULDBEAFLATTHROUGHOUTTHEPOLI
CYTERM ORVARYAT
PREDETERMI
NEDRATESUBJECTTOANUPPERLI
MIT

A.
SWI
TCHI
NGCHARGE
B.
GUARANTEECHARGE

C.
PREMI
UM ALLOCATI
ONCHARGE

D.
SURRENDERCHARGE

E.
POLI
CYADMI
NISTRATI
ONCHARGE

70.
THISISTHECHARGELEVI
EDATTHETI
MEOFCOMPUTATI
ONOFNAVWHI
CHI
S
USUSALLYDONEONDAILYBASI
S.

A.
POLI
CYADMI
NISTRATI
ONCHARGE

B.
PREMI
UM ALLOCATI
ONCHARGE

C.
GUARANTEECHARGE

D.
SWI
TCHI
NGCHARGE

E.
NONE

71.
THECHARGESASFI
LEDUNDERTHEFI
LEANDUSEANDAPPROVEDBYTHEI
RDASHALL
NOTBEMODIFI
EDORCHANGED

A.
REVI
VALPERI
OD

B.
PARTI
ALWI
THDRAWALCHARGE

C.
MISCELLANEOUSCHARGE

D.
LIMI
TATI
ONONCHARGESOFUNI
TLI
NKEDPRODUCTS

E.
NONE

72.
THECAPONFMCI
NRESPECTOFEACHOFTHESEGREGATDFUNDSHALLBE_
___
_BASI
S
POI
NTSANDCAPON___
___
_SHALLBE50BASI
SPOI
NTS

A.
135&LI
MTI
TATI
ONCHARGES

B.
135&MI
SCELLANEOUSCHARGES

C.
135&GUARANTEECHARGES

D.
NONE
E.
ALL

73.
THI
SSTI
PULATESAREQUIREMENTWHEREINTHEDIFFERENCEBETWEENGROSSAND
NETYI
ELDCANNOTINCREASETHELI
MITSASSPECI
FIED.

A.
REDUCTI
ONI
NYI
ELD

B.
LIMI
TATI
ONCHARGES

C.
RIDERCHARGE

D.
PARTI
ALWI
THDRAWALCHARGE

E.
NONE

74.
THISCHARGEONLYREFLECTTHEPURERI
SKCHARGESFORTHECOVEROFFEREDAND
SHALLNOTINCLUDEANYALLOWANCEFOREXPENSESORANYOTHERPARAMETERS.

A.
PARTI
ALWI
THDRAWALCHARGE

B.
MISCELLANEOUSCHARGE

C.
RIDERCHARGE

D.
FMC

E.
NONE

75.
THI
SCHARGEI
SLEVI
EDONLYATTHETI
MEOFALTERATI
ON

A.
PARTI
ALWI
THDRAWALCHARGE

B.
MISCELLANEOUSCHARGE

C.
RIDERCHARGE

D.
GUARANTEECHARGE

E.
NONE

Chap3keyandi
c92
1.B

2.E

3.A

4.F

5.B

6.C

7.A

8.E

9.D

10.E

11.E

12.E

13.D

14.E

15.E

16.E

17.D

18.E

19.A

20.C

21.C

22.C

23.B

24.
D
25.
B

26.
D

27.
C

28.
A

29.
B

30.
C

31.
B

32.
D

33.
E

34.
D

35.
A

36.
D

37.
D

38.
A

39.
E

40.
E

41.
C

42.
D

43.
A

44.
E

45.
C

46.
E

47.
E

48.
C
49.
B

50.
A

51.
E

52.
E

53.
A

54.
E

55.
E

56.
E

57.
D

58.
E

59.
E

60.
C

61.
D

62.
D

63.
D

64.
D

65.
D

66.
D

67.
C

68.
D

69.
E

70.
C

71.
D

72.
C
73.
A

74.
C

75.
B