Dear Aspirants, LIC ADO is one of the most important exam in the competitive examination. LIC ADO mains exam consists of three sections i.e. Reasoning ability and Numerical Ability, General knowledge & Current affairs and Insurance & Financial Market Awareness. LIC ADO Insurance Awareness & Financial Market Awareness section comprises of 50 questions. LIC ADO Insurance Awareness Questions 2019 play an important role in boosting up the score in mains examination and also helps in the interview. Here we are providing a new series of LIC ADO Insurance Awareness Questions 2019. Aspirants can make use of this LIC ADO Insurance Awareness Questions 2019, to improve score in the Insurance & Financial Market Awareness section.
1) ________is adefined amount of time after the premium is due in which a policyholder can make a premium payment without coverage lapsing.
a) Null Period
b) Void Period
c) Prompt Period
d) Grace Period
e) Waiting Period
2) The age at which a policyholder starts receiving his pension is known as ____.
a) Retirement Age
b) Vesting Age
c) Maturity Age
d) Old age
e) Claiming age
3) Which of the following indicator indicates the level of development of Insurance sector in a country?
a) Policy Rate
b) Core Rate
c) Revenue Rate
d) Penetration Rate
e) Development Rate
4) Where is the headquarters of India First Life Insurance?
5) Which of the following acts provided strict government control over insurance business?
a) Life Insurance Companies Act, 1912
b) IRDAI Act, 1999
c) Life Insurance Corporation Act, 1956
d) Life Insurance Act, 1938
e) Indian Insurance Companies Act, 1928
6) Arrangement of bank selling insurance product acting as agent of respective companies is called
d) Proxy Insurance
e) Shadow Insurance
7) Which insurance company has launched a specially designed mentorship program ‘Wings’, to empower the female workforce?
a) Life Insurance Corporation of India
b) Bajaj Allianz Life Insurance
c) Aviva Life Insurance
d) Bharti AXA Life Insurance
e) Aegon Life Insurance
8) What percent of share is held by government in National Insurance Company Ltd.?
9) LIC’s Jeevan Akshay VI is which type of plan?
a) Term Plan
b) Family plan
c) Children’s Plan
d) Accidental Death Plan
e) Pension Plan
10) The term ‘insurable interest’ is related to which of the following types of insurance ?
a) Life Insurance
b) Fire Insurance
c) Marine Insurance
d) General Insurance
e) All of the above
1) Answer: d)
Insurance grace period is a defined amount of time after the premium is due in which a policyholder can make a premium payment without coverage lapsing. Grace period can be from minimum 24 hours to maximum 30 days depending entirely upon insurer. Paying after the due date may attract a financial penalty from the insurance company. Paying within the grace period is considered paid on time
2) Answer: b)
The age at which the insured starts receiving a pension from the insurance company in an insurance-cum-pension policy is known as vesting age.
3) Answer: d)
Penetration Rate is an indicator that indicates the level of development of Insurance sector in a country. Penetration Rate is measured by dividing premium underwritten in a particular year by GDP of the country in same fiscal year. This would mean that policies such as Unit Linked Investment Plans (ULIPs) which have higher rates of premium, would lead to higher insurance penetration rate, whereas, term policies which have lower rates of premium would lead to a lower penetration. Penetration Ratio is 3.69% in India which is one of the lowest across the world.
4) Answer: b)
IndiaFirst Life Insurance Headquarters: Mumbai
Managing Director & Chief Executive Officer (MD & CEO): R. M. VISHAKHA
It is a joint venture of Andhra Bank, Bank of Baroda and Legal & General.
Year of Establishment: 2009
5) Answer: d)
Life Insurance Act, 1938 was the first legislation to control the insurance sector in India. The Act controlled both life and non-life insurance. The Life Insurance Act, 1938 provided strict government control over insurance business. Life Insurance Companies Act, 1912 discriminated between foreign and Indian insurance companies.
6) Answer: a)
Bancassurance is the arrangement between a bank and an insurance company for the sale of insurance products by the bank. This arrangement is widely used around the world and helps insurance companies maintain smaller sales teams by benefiting from the branch and sales network of their partner banks.
7) Answer: c)
Aviva Life Insurance has announced the launch of ‘Wings’, a specially designed mentorship program to empower the female workforce. The program is an initiative of the SHE division of the company, for mentoring all the women employees. Aviva Life Insurance is a joint venture between Dabur Invest and Aviva International Holdings, a UK-based insurance group, whose association with India goes back to 1834.
8) Answer: c)
National Insurance Company Ltd. is wholly owned by government. Share of government in National Insurance Company Ltd. is 100%. National Insurance Company Ltd was Nationalized in 1972. It was first incorporated on 5th December 1906 with itsheadquarter in Kolkata. After Nationalization of National Insurance Company Ltd in 1972 it was incorporated in General Insurance Corporation of India. Under General Insurance Business Amendment Act of 2002 it National Insurance Company Ltd was de-linked from General Insurance Corporation of India.
9) Answer: e)
LIC’s Jeevan Akshay VI is a pension or retirement plan. It is an Immediate Annuity plan, which can be purchased by paying a lump sum amount. The plan provides for annuity payments of a stated amount throughout the lifetime of the annuitant.
10) Answer: e)
Insurable interest refers to the interest in the property or thing insured. • Only the owner can have the insurable interest in the property. • It is related to all types of insurance. • In case of life insurance it is related to the life of insured person and in other cases it is related to the subject matter that is insured.