IC38 Exam Overview – Become an LIC Agent 

IC38 Examination overview by workwithlic

IC38 Examination 

IC38 Examination
IC38 Examination

IC38 Examination Overview 

The IC 38 test is the first step toward certification as an IRDAI Agent/Insurance Advisor. Insurance Institute of India (III) conducts this pre-employment qualification test on behalf of IRDAI (Insurance Regulatory and Development Authority of India). Exams are held on online platforms, and results are shown on displays immediately after the test paper is submitted.

Within one hour, 50 multiple-choice questions must be answered.

Passing the exam requires a score of 35%. (minimum 18 marks).

Because there is no negative marking system, no question should be left unanswered.

Criteria to Become an Insurance Advisor

According to the IRDAI (Licensing of Insurance Agents) Regulations 2000, applicants must have at least a 12th-grade education. If the applicant lives in a place with more than 5000 people, he should have passed the 12th grade from a recognized school. If he lives in a place with less than 5000 people, he should have passed the 10th grade from a recognized school.

The agency of an insurance agent cannot be changed from one insurance company to another. As a result, you must exercise extreme caution while selecting an insurance company. A person who wants to be an insurance agent can get three licenses from General Insurance Companies, Life Insurance Companies, and SAHI Companies at the same time.

Steps to Becoming an Insurance Agent

* Select the Insurance Company for which you want to work.

* Walk to your preferred company’s nearest office OR apply online at the insurance company’s website OR

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* Become a member of the insurance company that you want to work for. Only through the insurance company will you be able to take the exam.

*Fill out the form and send it with your birth certificate and high school diploma to the insurance company’s office.

* Complete 50 hours of training at an IRDAI-accredited institution. Now, insurance companies organize in-house training sessions to assist candidates in preparing for IRDAI examinations.

To obtain a license to work as a composite insurance agent for the first time, an applicant must complete 75 hours of training.

* After completing the program, you will receive a Training Completion Certificate from the Insurance Company, which will allow you to sit for the IRDAI Insurance pre-employment qualifying examination.

* Following the inspection and issuance of the license by the Insurance Company’s Designated Person, the agent should enter into an agency agreement with the Insurance Company that is effective for a specified duration.

Composite Insurance Agent 

Insurance agent: “Composite insurance agent” is a person who has been hired by two or more insurance companies, but only if he or she can’t act as an insurance agent for two or more different types of insurance companies.

Renewal of Agent License – A person who wishes to renew their license should submit an application in Form IRDA-Agents-VA to the authorized person. If the applicant seeking renewal of license has the required qualification, has completed 25 hours of practical training, and has passed the pre-recruitment examination conducted by the Insurance Institute of India or another examination body, the designated person will renew the license upon receipt of the application.

A Composite Insurance Agent must fill out two distinct applications and complete 50 hours of practical training from a recognized institution. The designated person also ensures that the applicant’s application meets all requirements, including the understanding of insurance products and business necessary to procure insurance business and the capability to provide services to policyholders.

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Charge – The fee for issuing or renewing an insurance agent license is Rs 250. The three-year license that was issued is still valid.

Duties of Insurance Agents 

* After completing training and passing the examination, an individual agent is licensed by IRDAI to sell insurance policies/products to customers and to provide post-sales service to them, including assistance (by identifying himself and the Insurance Company for which he is an Insurance Agent) during times of claim.

* An Insurance Agent’s role is to assist insurance customers in selecting suitable insurance coverage for themselves, their families, and their businesses that cover risk and may act as financial aid in the event of an unexpected incident.

* Insurance Agents are responsible for disclosing to insured consumers the products for sale and their detailed characteristics supplied by their Insurance Company.

* Insurance agents are responsible for obtaining the necessary documents required by the insurance company and explaining to customers the information required to complete the proposal form and the importance of disclosing all material facts that may affect the underwriting decision and subsequent claim settlement.

* Insurance agents should encourage customers to submit nomination or assignment forms and assist with any address, contact, or other important information changes.

Insurance Agency Legal and Regulatory Aspects  –  The Insurance Regulatory and Development Authority of India grants insurance agent licenses pursuant to section 42 of the Insurance Act. The duration of the license is three years. If the Licence is revoked as a result of fraud, it cannot be renewed for a period of five years. Insurance agents must produce their licenses upon request. 

Sourced business via life insurance companies: 

* Term Insurance

* Endowment Plan
* Retirement Plans

* Unit Linked Plans (ULIP)

* Whole Life Plans

* Money Back Insurance

* Child Insurance Plan

Sourced business via General Insurance Companies: 

* Fire & Special peril Insurance

* Motor Insurance

* Personal Accident and Health Insurance

* Insurance for Travel (Overseas & Domestic Travel)

* Marine Insurance

* Micro Insurance/Rural Insurance

* Liability Insurances

* Commercial Insurance

* Crop Insurance

* Home and burglary insurance.

Sources of business for Stand-Alone Health Insurance Companies (SAHI Companies) – 

* Insurance for Health and Personal Accidents in the Retail Sector (Indemnity & benefit Health, PA, Critical illness, Senior Citizen, Hospital Cash, Travel, Top-Up, Super Top-Up, Disease-specific products, etc.)

* Group health insurance, group personal accident insurance, a group critical sickness insurance, and so on.

ic38 Exam Material
IC38 Examination overview
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