Latest Insurance and Finance General Knowledge(GK) Questions and answers

1 .

A policy that can be cancelled or have the premiums raised by the insurer on a specific anniversary date, subject to certain reasons written into the policy is known as_____

A)

Conditional Contract

B)

Conditional Receipt

C)

Consequential loss

D)

Conditional Renewable

Correct Answer : Conditional Renewable

A contract of health insurance stating that the policy is renewable under certain conditions as defined in the contract.

2 .

A property or liability insurance contract in which all risks of loss are covered is called

A)

Aleatory contract

B)

Aggregate Limits

C)

All-Risk Agreement

D)

Affirmative Warranty

Correct Answer : All-Risk Agreement

A property or liability insurance contract in which all risks of loss are covered except those specifically excluded.

3 .

Perils that cannot reasonably be guarded against, such as floods and earthquakes is known as _____

A)

Acts of God

B)

Actual Loss Ratio

C)

Combined Ratio

D)

Actuarial Cost Assumptions

Correct Answer : Acts of God

4 .

______in insurance, is the splitting or spreading of risk among multiple parties.

A)

Coinsurance

B)

Blanket Bond

C)

Reinsurance

D)

Blanket Assign

Correct Answer : Coinsurance

5 .

The Payment to the policyholder at the end of the stipulated term of the policy is called

A)

Surrender Value

B)

Maturity Claim

C)

Sum Assured

D)

Paid-up value

Correct Answer : Maturity Claim

The Payment to the policyholder at the end of maturity date is known as maturity claim.

6 .

_____is the amount of money an insurance policy guarantees to pay before any bonuses are added.

A)

Maturity Value

B)

Fund

C)

Annuity

D)

Sum Assured

Correct Answer : Sum Assured

Sum Assured is the guaranteed amount the policyholder will receive.

7 .

_______ plans provide for a â€œpensionâ€ or a mix of a lump sum amount and a pension to be paid to the policyholder or his spouse.

A)

Liquidity

B)

Cover

C)

Annuity

D)

Fund

Correct Answer : Annuity

A contract sold by an insurance company designed to provide payments to the holder at specified intervals.

8 .

Coverage for property taken or destroyed by breaking and entering the insuredâ€™s premises, burglary or theft, forgery or counterfeiting, fraud, kidnap and ransom, and off-premises exposure is known as

A)

Jewellers Block Policy

B)

Burglary Policy

C)

Fire Policy

D)

None of the Above

Correct Answer : Burglary Policy

Insurance against loss or damage resulting from or following the unlawful breaking and entering of designated premises or places of safekeeping is known as Burglary policy. This Policy is designed to cover business premises only like godown, factory, office etc.

9 .

A demand made by the insured, or the insuredâ€™s beneficiary, for payment of the benefits as provided by the policy is known as_____

A)

Claim

B)

Aggregate

C)

Request

D)

Demanding

Correct Answer : Claim

An insurance claim is a formal request to an insurance company asking for a payment based on the terms of the insurance policy.

10 .

2020 - 2021 Limit of FDI in Insurance sector :

A)

49%

B)

74%

C)

80%

D)

100%

Correct Answer : 74%

Union Finance Minister Nirmala Sitharaman announced an increase in Foreign Direct Investment (FDI) limit in insurance from 49% to 74%. Tabling the Union Budget for 2020-21, she said, “We propose to amend the Insurance Act, 1938 and will launch a new investor charter for investor protection.