Insurance Questions and Answers
Test and improve on your knowledge of insurance with these Insurance questions and answers. This aptitude test assesses your understanding of the fundamental concepts of insurance.
Test and improve on your knowledge of insurance with these Insurance questions and answers. This aptitude test assesses your understanding of the fundamental concepts of insurance.
endowment policy
whole life insurance
annuity policy
term insurance
Correct answer is A
Endowment life insurance policies do not have investment risk or interest rate risk. an endowment policy does not earn any interest throughout the term.
The part of a policy that describes the event that led to a loss is
operative clause
recital clause
heading
schedule
Correct answer is A
The Operative clause in an insurance policy sets outs the circumstances that must be present before an insurance company will pay out any claims to insured parties.
which of the following professionals is an operator in the reinsurance market?
agent
consultant
broker
adjuster
Correct answer is C
An insurance broker is a specialist in insurance and risk management. Brokers act on behalf of their clients and provide advice in the interests of their clients.
A policy that covers a trader against the risk of payment default by customer is
stock insurance
trade insurance
fidelity insurance
credit insurance
Correct answer is C
Fidelity Guarantee Insurance provides insurance against direct financial loss to companies arising out of the dishonesty of their employees.
term assurance
pure endowment
whole life insurance
personal accident insurance
Correct answer is A
A term assurance policy will be set up to last for a certain period of time (usually a specific number of years or until you reach a certain age): this is known as the term of the policy. A payment will only be made in the event of your death during that period.