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) A micro-insurance policy is a general or life insurance policy with a sum assured up to __________.
a) Rs 50,000
b) Rs 1,00,000
c) Rs 5,00,000
d) Rs 10,00,000
e) Rs 2,50,000
2) In Life Insurance, acquisition costs are creating a tax effect referred to as the DAC tax. What is the abbreviation of DAC?
a) Default Acquisition Claim
b) Deductible Aggregate Cost
c) Deferred Aggregate Coverage
d) Deferred Acquisition Cost
e) Default Aggregate Claim
3) Which of the following firms, recently received a license to enter insurance broking business to sell both life and general Insurance products?
a) Tata Enterprise
b) Godrej Enterprise
c) Hero Enterprise
d) ITC Limited
e) None of the above
4) The zonal headquarters of Life Insurance Corporation of India for South Central Region is located in ________
5) Bharti AXA Life Insurance was recently conferred with the FICCI Claims Excellence Award. Who among the following is current MD & CEO of Bharti AXA Life Insurance?
a) Vikas Seth
b) Sandeep Mohapatra
c) Sujeet Saraswat
d) Aman Kishor
e) Atul Bhatnagar
6) LIC was established in the year _______.
7) Which of the following private insurers has decided to dedicate the 6th day of every calendar month as protection day?
a) Bharti AXA Life Insurance
b) Bajaj Allianz Life Insurance
c) Max Life Insurance
d) Canara HSBC OBC Life Insurance
e) Edelweiss Tokio Life Insurance
8) Airtel Payments Bank, recently (April 2019), has tied up with which company to offer two-wheeler insurance?
a) HDFC ERGO General Insurance
b) Bharti AXA General Insurance
c) Bajaj Allianz General Insurance
d) Reliance General Insurance
e) National Insurance Company Limited
9) What is the maximum FDI limit Insurance Sector?
10) An insured must act as if the property was not insured, and must take care all reasonable care to reduce the loss. Which of the following principle of Insurance imply the same?
a) Principle of Indemnity
b) Principle of Cause Maxima
c) Principle of Mitigation
d) Principle of Subrogation
e) Principle of Contribution
1) Answer: a)
A micro-insurance policy is a general or life insurance policy with a sum assured of Rs 50,000 or less. Insurance Regulatory and Development Authority of India (IRDAI) has created a special category of insurance policies called micro-insurance policies to promote insurance coverage among economically vulnerable sections of society. The IRDA Micro-insurance Regulations, 2005 defines and enables micro-insurance.
2) Answer: d)
Deferred Acquisition Cost (DAC) is the amount of an insurer’s acquisition costs incurred as a premium is written but earned and expensed over the term of the policy. In life insurance, acquisition costs are recognized as a premium is earned, creating a tax effect referred to as the “DAC tax.”
3) Answer: c)
Hero Enterprise has received a license to enter insurance broking business to sell both life and general insurance products. Hero currently offers its general insurance services to the manufacturing, hospitality, education, health and travel and aviation sectors, in addition to the entire automobile segment.
4) Answer: a)
5) Answer: a)
Vikas Seth is the current MD & CEO of Bharti AXA Life Insurance. Bharti AXA Life Insurance was recently, conferred with the FICCI Claims Excellence Award. The recognition comes for its customer-friendly claims services in the life insurance sector.
6) Answer: c)
Life Insurance Corporation of India was established on 1 September 1956, with the objective of spreading life insurance among the masses. The Parliament of India passed the Life Insurance Corporation Act on 19 June 1956. LIC now have 2048 branch offices, 113 divisional offices, 8 zonal offices, 1381 satellite offices and the corporate office in Mumbai.
7) Answer: c)
Max Life Insurance Co Ltd, one of the industry’s foremost life insurance companies, announced that it will dedicate 6th day of every calendar month as ‘Protection Day’ towards driving awareness around the concept of financial protection. As a part of this initiative, a wide range of initiatives will be rolled out across Max Life’s network of over 240 Max Life’s offices and a wider network of its distribution partners.
8) Answer: b)
Airtel Payments Bank has tied up with Bharti AXA General Insurance for a two-wheeler insurance product offering which is available on MyAirtel App and at over 40,000 Airtel Payments Bank points across India.
9) Answer: b)
The maximum FDI limit in Insurance Sector is 49%.
10) Answer: c)
Principle of Mitigation states that it is the duty of the insured to take reasonable care to minimize the loss or damage to the insured property and must act as if the property was not insured. If reasonable care is not taken then the claim from the insurance company may be lost.