43
A primary function of insurance is the?
- A. creation of a common pool
- B. provision of security
- C. stimulation of business enterprises
- D. loss prevention and control
44
The principle of utmost good faith allows the insured
- A. to accept all risks proposed for insurance
- B. the right to sue the insurer
- C. to make claim from more than one insurer
- D. to make a full disclosure of the proposed risk
45
The reason for issuing certificate of motor insurance is that , it is
- A. required by law for all motor policy holders
- B. a general practice world wide
- C. a support to policy document
- D. a replacement for the policy
46
information required in a proposal form for employer’s liability is insurance include
- A. age and health condition of the employees
- B. the number of employees and the annual wage roll of the proposer
- C. nature and description of goods to be carried or dispatched
- D. the extent to which the vehicle of the proposer will be put to private use
47
which type of insurance product is appropriate for a young couple who is embarking on a holiday trip abroad?
- A. whole life policy
- B. investment linked policy
- C. education endowment policy
- D. term assurance policy
48
A method of providing indemnity under glass insurance policy is?
- A. cash payment
- B. repairs
- C. replacement
- D. reinstatement
49
A functional reinsurance is that it
- A. protects the account of the insurer against large claims
- B. discourage the spread of risk in the insurance market
- C. provides protection for uninsured losses
- D. encourages the insured to make claims from more than one insurer
50
which of the following factors is not considered when calculating premium in life assurance policy
- A. expense
- B. mortality
- C. interest
- D. losses
51
A life policy holder enjoy days of grace
- A. at the inception of the policy
- B. at the renewal time of the policy
- C. when he surrenders the policy
- D. when the policy is paid up
52
The right which an insurer has to stand in the place of the insured against a negligent party is?
- A. insurable interest
- B. subrogation
- C. proximate cause
- D. contribution