Risk Global Chapter 2

Your client Sara is an avid motor cycle and typically selects vacations where she can explore new areas on her motorcycle. Sara recognizes the risk associated with motorcycling so she has purchased life insurance where she has named her daughter as the beneficiary. The type of risk Sara faces and Sara’s purchase of life insurance is a technique used to manage risk are commonly referred to as:

A loss assessor in insurance sector is an individual or a firm who deals with cases related to a claim. Which one of the following statements correctly describe the function of a loss assessor?

Sophie has decided that she will no longer partake in sky diving activities because she feels it is a high-risk sport that places her in too much danger. Sophie’s decision to decline participation is a risk management technique commonly referred to as:

Risk management and insurance planning can be shown as a process that has six steps. Which of the following is the second step in the process?

Rohit has been working with XYZ Ltd for the last 5 years. His employer does not provide health insurance cover to its employees. Rohit has one health policy in his name but feels that the cover is not adequate. Which one of the following variants of hospitalization policy can Rohit choose for adding cover to his existing plan?

ABC Ltd. is in the business of manufacturing smartphones. One day the assembly line went wrong during the manufacturing process. Although the issue did not affect all the phones some of the affected phones did tend to overheat and explode. Which one of the following liability insurances should have been taken by ABC Ltd. beforehand?

Question: General insurance includes cover for many risk exposures. Which of the following statements regarding general insurance is most likely correct?

Your clients are considering a life insurance contract and are reading through the contract. They have asked you about insurable interest. A valid life insurance contract requires that the policy owner have an insurable interest in the life insured:

Crop insurance is an important part of agriculture in India. Which one of the following losses is covered under crop insurance?

A motor insurance cover ensures the insured’s liability in respect of death or bodily injury to third parties and also damage to property. Which of the following is taken as sum insured under a car insurance policy?

Girish aged 42 years has made the following payments during the previous year 2019-20: 1) Medical insurance premium on his policy – Rs. 12500. 2) Medical insurance premium on policy of wife who is an established fashion designer – Rs. 6000. 3) Medical insurance premium on policy of younger son who is dependent on Girish – Rs. 3000. 4) Medical insurance premium on policy of elder daughter who is self-employed and not dependent on Girish – Rs. 5000. 5) Medical insurance premium on policy of parents (resident and aged 68 years not dependent on Girish) – Rs. 17500 each. What shall be the admissible deduction for Girish under section 80D for the financial year 2019-20?