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MODEL TEST 5 13. The term Money Laundering would mean –

Time : 1 hour A. Process of hiding the origin of the money
Marks : 1 mark each B. Turning illegal money into legal money
C. Bringing illegal money into economy
1. Prospectus is a document which is …… D. All of the above.
A. basis of the contract B. Contract 14. As per PML Act, 2002, which came into effect from 2005,
C. Evidence of contract money laundering is punishable by
D. providing details about product A. Rigorous imprisonment for 3 - 7 years
2. Which is not provided in a Prospectus? B. Fine of Rs.5 lakhs C. None D. Both A or B
A. Terms & conditions B. Scope of benefits 15. AML programme of an ins. co. to include –
C. Documents required for claim. D. Entitlements A. Internal policies and controls
3. Which of the following defines a proposal form? B. Appointment of a Principal Compliance Officer
A. IRDA Act, 1999 C. Internal Audit/control D. All the above
B. IRDA (Licensing of Agents) Regulations, 2000 16. What are the KYC documents?
C. Insurance Act, 1938 A. Photo B. Address proof
D. IRDA (Protection of Policyholders’ interests) C. Proof of Identify D. All the above.
Regulations, 2002 17. Objective of KYC guidelines is to prevent –
4. IRDA has prescribed the design and content of a A. Identity theft B. Financial fraud
proposal form through – C. Money laundering D. All the above
A. IRDA (Licensing of Agents) Regulations, 2000 18. The free look period available to cancel a policy is –
B. IRDA (Protection of Policyholders’ interests) A. 15 days B. 30 days
Regulations, 2002 C. 45 days D. 60 days
C. IRDA (Standard Proposal Form for insurance) 19. When free look period under a policy would commence?
Regulations, 2013 D. All the above A. Date of commencement
5. Who is the primary underwriter? B. Date of receipt of policy bond
A. Insurer B. Insured C. Date of FPR D. Any time
C. Proposer D. Agent 20. Which is evidence of commencement of contract/risk
6. Which of the following information is not contained in a cover?
Medical Examiner’s Report? A. Policy document B. Prospectus
A. Previous policy particulars C. Proposal form D. FPR
B. Height, weight, BP of the proponent 21. Which is a Premium receipt?
C. Both A and B D. Neither A nor B A. First Premium Receipt
7. When medical report of the life insured is essential? B. Renewal Premium Receipt
A. Sum proposed or age is high C. Both D. NOTA
B. Medical characteristics of the proposer 22. Which will act as a proof of premium payment should any
C. Both A and B D. Neither A nor B dispute arise as to premium payment?
8. What does moral hazard indicate? A. F.P.R. B. R.P.R.
A. The possibility that client would undertake C. Proposal form D. Policy document
dangerous expeditions after taking a policy 23. Which is evidence of contract?
B. The possibility of ending own life or the life of A. Policy document B. Prospectus
another C. Proposal form D. FPR
C. Both the above instances D. NOTA 24. What are the parts of a policy bond?
A. Policy schedule B. Standard provisions
9. Moral Hazard Report is completed by …………. C. Specific provisions D. All the above
A. Official of the Company B. Agent 25. Which of the following information is not found in the
C. Medical Examiner D. Proposer Policy Schedule?
10. To ascertain which of the following Age proof is not A. Plan and Term B. Sum insured
required: C. Rights/Privileges D. Policy No.
A. Assessment of Risk profile 26. Standard provisions of a policy contains which of the
B. Premium paying capacity following information?
C. Fixing the premium D. All the above A. Rights/Privileges B. Sum insured
11. Which is a not a standard age proof? C. Table and Term D. Policy No.
A. PAN card B. Baptism Certificate 27. Specific policy provisions may contain –
C. Service Register D. Ration card A. Plan and Term B. Clause
12. Which is a standard age proof? C. Rights/Privileges D. Policy No.
A. Horoscope B. Ration card 28. ‘Clause’ under a life insurance policy means –
C. PAN card D. Self declaration A. Risk not covered B. Risk covered
C. Surrender D. Loan facility