English New IC33 Paper 9

Que. 1 : ________________________: Secondly it is not easy to ascertain what would be rate of return on these policies. This is because the value of the benefits under “With Profit policies” would be known for sure, only when the contract comes to an end. Again, the exact costs of the insurer are not disclosed. This lack of clarity about the rate of return makes it difficult to compare them with other alterative instruments of savings. bviously one cannot know how efficient life insurance is as a savings instrument unless one can make such comparison.
   1.  Yield
   2.  Rate of return
   3.  Surrender value
   4.  Cash value component
Que. 2 : __________________________: A third problem is that the cash and surrender values (at any point of time), under these contracts depend on certain values (like the amount of actuarial reserve and the pro-rata asset share of the policy). These values may be determined quite arbitrarily. The method of arriving at surrender value is not visible.
   1.  Yield
   2.  Rate of return
   3.  Surrender value
   4.  Cash value component
Que. 3 : _________________ : Firstly, the savings or cash value component in such policies is not well defined. It depends on the amount of actuarial reserve that is set up. This in turn is determined by assumptions about mortality, interest rates, expenses and other parameters that are set by the life insurer. These assumptions can be quite arbitrary.
   1.  Yield
   2.  Rate of return
   3.  Surrender value
   4.  Cash value component
Que. 4 : Which of the below is a shift to non -traditional products?
   1.  Unbundling
   2.  Investment linkage
   3.  Transparency
   4.  All of the above
Que. 5 : Which of the below is a shift to non -traditional products?
   1.  Unbundling
   2.  Investment linkage
   3.  Non-standard products
   4.  All of the above
Que. 6 : Universal life insurance is a form of ____________________life insurance.
   1.  Permanent
   2.  Temporary
   3.  Traditonal
   4.  All of the above
Que. 7 : Which of the below is a characteristics of universal Life Insurance products?
   1.  Flexible premiums
   2.  Fixed face amount
   3.  Fixed death benefit amount
   4.  Bundling of its pricing factors
Que. 8 : Which of the below is a characteristics of universal Life Insurance products?
   1.  Fixed premiums
   2.  Flexible face amount
   3.  Fixed death benefit amount
   4.  Bundling of its pricing factors
Que. 9 : Which of the below is a characteristics of universal Life Insurance products?
   1.  Fixed premiums
   2.  Fixed face amount
   3.  Flexible death benefit amount
   4.  Bundling of its pricing factors
Que. 10 : Which of the below is a characteristics of universal Life Insurance products?
   1.  Fixed premiums
   2.  Fixed face amount
   3.  Fixed death benefit amount
   4.  Unbundling of its pricing factors