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) IRDAI has announced that it will adopt RBC regime from the current solvency principle to improve protection for policyholders. What is the full form of RBC?
a) Risk Based Capacity
b) Repo Based Capital
c) Rating Based Capital
d) Risk Based Capital
e) Regressive Tax based Capacity
2) ________ is a savings linked insurance policy with a specific maturity date.
a) Unit Linked Policy
b) Endowment Policy
c) Third Party Policy
d) Re-insurance Policy
e) None of these.
3) DICGC insures all bank deposits up to the limit of Rs. 1,00,000 of each deposit in a bank. “G” in ‘DICGC’ stands for which of the following term?
4) As announced in the Interim Budget 2019, the ceiling of ESI’s (Employees’ State Insurance) eligibility cover has been increased from Rs 15,000 pm to Rs ________ pm.
a) Rs. 21,000
b) Rs. 20,000
c) Rs. 18,000
d) Rs. 22,000
e) Rs. 25,000
5) According to ranking published by ‘Standard & Poors’, which Indian reinsurance company has secured 10th position among the top 40 global reinsurers?
a) Life Insurance Corporation of India
b) New India Assurance Corporation of India
c) General Insurance Corporation of India
d) National Insurance Company Ltd.
e) United India Insurance Company Ltd.
6) Which scheme was launched by ‘Employees State Insurance Corporation (ESIC)’ for insured persons covered under the ‘Employees’ State Insurance Act’?
a) Pradhan Mantri Sahaj Rog Nivaran Yojana
b) Pradhan Mantri Garib Uthan Yojana
c) Deen Dayal Garib Kalyan Yojana
d) Atal Bimit Vyakti Kalyan Yojna
e) Atal Aam Aadmi Bima Yojana
7) “National Insurance Academy” is located in which city of India?
b) New Delhi
8) A form of insurance that pays damages equal to the replacement value of damaged property minus depreciation is known by which of the following term?
a) Survival Benefit
b) Actual Cash Value
c) Surrender Value
d) Sub standard Value
e) Limited Payment Value
9) What do you understand by term ‘Riders’ used in Insurance sector?
a) Third Party insurance benefits
b) Co-insurance compulsory benefits
c) Reinsurance conditions
d) Conditions by regulator on insurer
e) Optional add-on benefit linked with policy
10) When you buy a life insurance policy, you generally have ____. During this time, you have the option of cancelling your policy without penalty.
a) Negotiation Period
b) Free Look Period
c) Grace Period
d) Pre-Investment Period
e) Maturity Period
1) Answer: d)
Insurance regulator IRDAI has announced that it is in the process of moving towards the Risk-Based Capital (RBC) regime to improve protection for policyholders. The decision to move to the RBC structure from the current solvency principle regime was taken after recommendations of a panel which gave its report.
2) Answer: b)
An Endowment Policy is a savings linked insurance policy with a specific maturity date. if an unfortunate event by way of death or disability occur to you during the period, the Sum Assured will be paid to your beneficiaries. On your surviving the term, the maturity proceeds on the policy become payable.
3) Answer: e)
G in “DICGC” stands for – Guarantee (Deposit Insurance and Credit Guarantee Corporation). Deposit Insurance and Credit Guarantee Corporation (DICGC) is a subsidiary of Reserve Bank of India. It was established on 15 July 1978 under Deposit Insurance and Credit Guarantee Corporation Act, 1961 for the purpose of providing insurance of deposits and guaranteeing of credit facilities.
4) Answer: a)
In Interim Budget 2019-20, the union government announced that the ceiling of ESI’s eligibility cover has been increased from Rs. 15,000 per month to Rs. 21,000 per month.
5) Answer: c)
General Insurance Corporation (GIC Re), a Government-owned reinsurance company headquartered at Mumbai, has secured 10th position among the top 40 global reinsurers, as per a recent ranking published by Standard and Poor’s.
6) Answer: d)
In September, 2018, the Employees’ State Insurance Corporation (ESIC) approved a new scheme- Atal Bimit Vyakti Kalyan Yojna for insured persons covered under the Employees’ State Insurance Act.
7) Answer: e)
The National Insurance Academy (NIA) is situated in Pune, India. It was founded in 1980 by the Finance Department of the Indian government with capital patronage from LIC and public sector general insurance industry.
8) Answer: b)
In the property and casualty insurance industry, Actual Cash Value (ACV) is a method of valuing insured property, or the value computed by that method. Actual Cash Value (ACV) is not equal to replacement cost value (RCV). ACV is computed by subtracting depreciation from replacement cost.
9) Answer: e)
‘Riders’ in a financial context actually means an optional insurance linked benefit, purchased separately at an additional premium. Riders help the insured customize the policy to fit his or her specific needs.
10) Answer: b)
When you buy a life insurance policy, you generally have what is called a free look period. During this time, you have the option of cancelling your policy without penalty. A free look period often lasts 10 or more days (depending on the insurer), allowing the contract holder to decide whether or not to keep it; if he or she is not satisfied and wishes to cancel, the policy purchaser can receive a full refund.