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Lic Agent Exam Model Question Paper
Lic Agent Exam Model Question Paper
Are you attending for Lic Agent Exam? Then read this collection of important LIC Agent
Interview Question and answer . hen you attend for online Exam you get !uestions in
"ultiple Choice. #elow "entioned are some important Questions as$ed for LIC Agent
Exam.
%& Insurance wor$s on the principle of
a Trust
' (haring
c )andomness
d All of the above
* Insurance is legitimate
a when an adverse happening is likely
' hen an adverse happening is unli$ely
c hen an adverse happening is certain
d In all the a'ove three situations
+ Insurance 'enefits replace
a All physical losses, in full
' All physical losses, partly
c All monetary losses, in full
d The monetary losses but only to some extent
- hich one of the following statements is correct?
a .eople hesitate to 'uy life insurance 'ecause they are not aware of their needs
' .eople hesitate to 'uy life insurance 'ecause they prefer to en/oy the present
c !oth the statements are correct
d #oth the statements are wrong
0 hich is the right time for ta$ing life insurance?
a hen you are a'out to get married
' (oon after you have got married
c 1ust when you are /oined a new /o'
d All the three "times# are right
2 )etention of ris$ may 'e done conveniently 'y
a Large corporations
' (mall companies
c (ingle individuals
d 3one of the three
4 A valuation is done 'y a life insurer 'ecause
a It is a statutory re!uirement
' It is necessary to 'e a'le to declare dividends to shareholders
c It tells the insurer how well it is managing the 'usiness
d All of the above
5 The reason for charging level premiums is
a )is$ increases as age increases
' It is convenient to the policyholder
c It is convenient to the insurer
d All the above reasons
6 hat does a premium depend upon?
a The place of worship visited 'y the person to 'e insured
' The state of health of the policyholder
c The decision of the underwriter
d The report of the agent
%7 (tate which one of the following statements is correct?
a $n group insurance a single policy is issued covering many persons
' A master policy covers servants of a master
c #oth the statements a'ove are correct
d #oth the statements a'ove are wrong
%% hich one of the following statements is correct?
a In a limited payment policy, there is a maximum limit to the (A
' In a limited payment policy, there is a maximum limit to the term
c !oth the statements above are wrongd #oth the statements a'ove are correct
%* hich one of the following statements is true with regard to Children8s policies?
a 9n vesting, the insured person has an option to change the term of the policy
' 9n vesting the insured person has an option to increase the (A
c !oth the statements above are wrong
d #oth the statements a'ove are correct
%+ hich of the following could 'e the 'asis of the cover in a group policy?
a :eight of the life insured
b Age of the life insured
c (i;e of the insured8s family
d All the three a'ove
%- hich one of the following statements is true with regard to Children8s policies?
a 9n vesting, the insured person has an option to change the term of the policy
' 9n vesting the insured person has an option to increase the (A
c !oth the statements above are wrong
d #oth the statements a'ove are correct
%0 hich one of the following statements is correct?
a Every plan of insurance is a combination of two basic plans
' The name given to a plan indicates the 'enefits availa'le under the plan
c #oth the statements a'ove are correct
d #oth the statement s a'ove are wrong
%2 hich one of the following statements is correct?
a <nderwriting is done only when there is a medical examination
' "edical examination is necessary 'efore a policy can 'e issued
c #oth the statements a'ove are correct
d !oth the statements above are wrong
%4 hich one of the following statements is correct?
a The underwriter determines the premium to 'e charged
' The underwriter is an employee of the insurer
c !oth the statements above are correct
d #oth the statements a'ove are wrong
%5 hich one of the following statements is correct?
a If the underwriter feels that the ris$ is more, he will accept at 9)
b $f the underwriter feels that the risk is more he may impose a lienc #oth the
statements a'ove are correct
d #oth the statements a'ove are wrong
%6 hich one of the following statements is correct?
a The schedule of a policy is not altered after the policy is issued
' Changes in the terms of the policy are made through endorsements
c !oth the statements above are correct
d #oth the statements a'ove are wrong
*7 The date of issue of the =.) indicates
a The date when the risk effectively begins
' The date when the next premium falls due
c The date when the policy will commence
d 3one of the a'ove
*% hich one of the following statements is correct?
a In the case of ((( policies, renewal premium receipts are issued
b $n the case of %%% policies &P's are issued
c #oth the statements a'ove are correct
d #oth the statements a'ove are wrong
** hich one of the following statements is correct?
a Assignee is free from the assignor8s o'ligations under the policy
' A nomination is automatically cancelled when a loan is ta$en under the policy
c #oth the statements a'ove are correct
d !oth the statements above are wrong
*+ hich one of the following statements is correct?
a The 'eneficiaries under the ". Act can 'e any mem'er of the family
' A policy can 'e ta$en under the "". Act for the 'enefit of parents
c #oth the statements a'ove are correct
d !oth the statements above are wrong
*- hich one of the following statements is correct?
a =oreclosure can 'e done only with the consent of the policyholder
b &oreclosure can be done only after informing the policyholder
c #oth the statements a'ove are correct
d #oth the statements a'ove are wrong
*0 hich one of the following statements is correct?
a )evivals are not done unless the entire outstanding premium is paid
' )evivals are not done unless the underwriter agrees
c #oth the statements a'ove are correct
d !oth the statements above are wrong
*2 hich one of the following statements is correct?
a &oreclosure action cannot be taken till a notice is served on the policyholder
' hen a foreclosure action is ta$en, nothing is paya'le to the policyholder
c #oth the statements a'ove are correct
d #oth the statements a'ove are wrong
*4 hich one of the following statements is correct?
a The 'eneficiaries under the ". Act can 'e any mem'er of the family
' A policy can 'e ta$en under the "". Act for the 'enefit of parents
c #oth the statements a'ove are correct
d !oth the statements above are wrong
*5 hich one of the following statements is correct?
a A presumption of death is not the same as proof of death
' .resumption of death allows inheritance of property
c !oth the statements above are correct
d #oth the statements a'ove are wrong
*6 hen does a claim arise under an insurance policy?
a henever the policyholder feels the need for money
b (hen the insured events happen
c hen a premium is not paid
d henever any of the three things mentioned a'ove happen
+7 hich one of the following statements is correct?
a Maturity claim che)ues are paid to the trustees in a M(P Act case
' "aturity claim che!ues are paid to the 'eneficiaries in a ". Act case
c #oth the statements a'ove are correct
d #oth the statements a'ove are wrong
+% If a claim is made in 1anuary *774 under a policy, which commenced in "ay *77*,
stating that the life insured had died in April *77-,
a (ection -0 of the Act will not apply
' The claim can 'e treated as an early claim
c =oul play must 'e suspected
d All the three statements above are correct
+* hich one of the following statements is correct?
a A policy reported to be lost may actually have been assigned
' A policy has no value after the payment of survival 'enefits
c #oth the statements a'ove are correct
d #oth the statements a'ove are wrong
++ hich one of the following statements is correct?
a The foreign exchange regulations apply if the life insured is a non>resident
' The foreign exchange regulations apply if the claimant is a non>resident
c !oth the statements above are correct
d #oth the statements a'ove are wrong
+- (tate which of the following statements is correct
a *L$Ps provide for flexibility' <LI.s are 'etter than traditional policies
c #oth the a'ove statements are correct
d #oth the a'ove statements are wrong
+0 (tate which of the following statements is correct
a In <LI.s, the offer 'id spread is the difference 'etween the two prices
' In <LI.s, the offer 'id spread, will in some cases 'e ;ero
c !oth the above statements are correct
d #oth the a'ove statements are wrong
+2 (tate which of the following statements is correct
a $n *L$Ps the insurance cover must be a minimum multiple of the premium
' <LI.s can 'e surrendered after two years
c #oth the a'ove statements are correct
d #oth the a'ove statements are wrong
+4 (tate which one of the following statements is correct
a Life insurance is the 'est savings scheme for all persons
' Life insurance is the 'est investment scheme for young persons
c #oth the statements a'ove are correct
d !oth the statements above are wrong
+5 hich of the following statements is correct?
a An insurance agent has fixed wor$ing hours
' An insurance agent has to mar$ his attendance in office every day
c An insurance agent works according to his scheduled An insurance agent cannot do
any other wor$
+6 (tate which one of the following statements is correct
a hen vital information is not disclosed, the policyholder is 'enefited
b (hen a claim is repudiated the agent#s trustworthiness is affected
c #oth the statements a'ove are correct
d #oth the statements a'ove are wrong
-7 (tate which one of the following statements is correct?
a The social sector is not only in the ur'an areas
' The social sector includes the unorgani;ed sector
c !oth the statements above are correctd #oth the statements a'ove are wrong
-% (tate which one of the following statements is correct?
a The 9m'udsman8s authority is limited to claims matters only
b The +mbudsman is not a ,udicial authority
c #oth the statements a'ove are correct
d #oth the statements a'ove are wrong
-* (tate which one of the following statements is correct?
a The tax provisions are the same for all $inds of savings
' The tax provisions are included in the Constitution
c #oth the statements a'ove are correct
d !oth the statements above are wrong
-+ A proposal for (A of )s. %7 la$hs with ?A# for monthly mode under (((.
.roposer had a previous policy of )s. 0 la$hs with ?A#. .roposal was
accepted with health extra of )s. *.40 per thousand (A premium for ?A# )e % per
thousand. 0@ extra for monthly mode. large (A re'ate of )s *A> per thousand for
% la$h and a'ove. Ta'ular premium )s. -5.*7 maximum total (A on which ?A# is
allowed is )s. %7A> la$hs.
=ind monthly B(((& premium, rounded off to the next higher rupee
a -%7*
' -%*%
c -%5+
d -%60
-- =ind out surrender value on the 'asis of following data Bthe answer to
'e rounded off to the next lower rupee&. (A )s.+7, 777 ?9C> %0.2.%66*,
Endowment with profit C +7 years
?ue date of last premium paid %0>72>*774 mode half yearly
Accrued 'onus )s.407A> per thousand (A. (D factor *+@
a +247
' +420
c 54-7
d 3one of these
-0 A money 'ac$ policy for (A. of )s.07,777A> "atured after *0 years.
(urvival 'enefits of %0@ each had 'een paid at the end of 0th, %7th, %0th,
and *7th years. #onus had accrued at )s.620A> per )s.%777A> (A. Interim 'onus
E )s.*0A> per thousand (A is paya'le. hat is the maturity claim amount?
a 25*07
' 26077
c 65*07
d 66077
Correct Answers for A'ove Exam Questions
- d . a / d 0 c 1 d 2 a 3 d 4 d 5 c -6 a
-- c -. c -/ b -0 c -1 a -2 d -3 c -4 b -5 c .6 a
.- b .. d ./ d .0 b .1 d .2 a .3 d .4 c .5 b /6 a
/- d /. a // c /0 a /1 c /2 a /3 d /4 c /5 b 06 c
0- b 0. d 0/ b 00 c 01 b