Latest Updated English IC33 Mock Test 1

Que. 1 : Who bear the investment risk in ULIP?

1.  State   2.  Insurer   3.  Insured   4.  IRDA

Que. 2 : The charges for insurance protection and expenses components of a unit linked product are disclosed to

1.  Actuary   2.  Customer   3.  IRDA   4.  Only to agent

Que. 3 : For a specified person, what will be mortality rate for 10 years and 15 years policy term?

1.  Mortality rate will be high for 15yrs PT   2.  Mortality rate will be high for 10yrs PT   3.  Mortality rate will be low for 15yrs PT   4.  Mortality rate will be constant

Que. 4 : Which of the following is correct with regard to ‘interest & risk premium’?

1.  Total risk premium is always lower for a longer policy term   2.  Interest is a discount arrived at future value of present claim payment   3.  There is no relationship between risk premium and interest   4.  Total risk premium is always higher for a longer policy term

Que. 5 : Will there be any difference, when Mr. A pays premium in annual mode comparing to Mr. B pays premium in monthly mode?

1.  Premium of A is higher than B   2.  Premiums of both A and B are same   3.  Premium of B is higher than A   4.  Premiums will always differ irrespective of mode

Que. 6 : When a person is not suffering from any diseases or other problem, then the person is

1.  Special Lives   2.  Normal Lives   3.  Standard Lives   4.  Super Lives

Que. 7 : What is the formula to find present value of future liabilities?

1.  Future cost/[1+(Interest rate /100)]^No of Years   2.  Future cost/[1*(Interest rate *100)]^No of Years   3.  Future cost/[1+(Interest rate *100)]^No of Years   4.  None of the above

Que. 8 : Why actuaries assume a higher mortality rates and lower interest rates than the actual expected?

1.  To be extra cautious   2.  To charge high premium   3.  To make extra profit   4.  None of the above

Que. 9 : What is the difference between net single premium and net level annual premium?

1.  Net level annual premium is arrived by dividing the net single premium by PPT   2.  Net level annual premium is for regular or limited premium policies   3.  Net single premium is for single premium policies   4.  None of the above

Que. 10 : Which of the below is not true with regard to loading?

1.  To ensure it takes care of the expenses of the company   2.  To ensure each type of policies expenses is managed by the respective loadings   3.  To ensure the product is competent and also profitable to the company   4.  To ensure all types of policies expenses is managed by the total loadings

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