Here is the next quiz in the quiz/MCQ series for Principles and Practices of Banking subject of JAIIB. This post covers the topics of Insurance Companies MCQ JAIIB. Answers are given at the end of the quiz.
Q1. In which year the first insurance company was started in India?
In 1818, the first insurance company in India was established in Calcutta (modern day Kolkata), The Oriental Life Insurance Company.
Following the recommendations of the Malhotra Committee report, in 1999, the Insurance Regulatory and Development Authority (IRDA) was constituted as an autonomous body to regulate and develop the insurance industry. The IRDA was incorporated as a statutory body in April, 2000.
The Principles governing the insurance business are:
As per Section 80C, the premium paid towards life insurance policies up to the maximum limit of Rs. 1,50,000 is eligible for tax deduction and deductions are applicable if the amount of premium paid in a financial year is 20% of the sum assured amount of the policy
The premium paid towards health insurance policies qualifies for deduction under Section 80D of the Income Tax Act. The benefit is available to individuals on health insurance premium paid for self, spouse, dependent children and parents
An Insurance broker license is issued to an expert and qualified individuals or firm acting through its directors or Partners or workers with knowledge on insurance related laws and has sufficient information on insurance items. Insurance Broker License is regulated and operated by Insurance Regulatory and Development Authority (IRDA)
The Insurance Ombudsman scheme was created by the Government of India for individual policyholders to have their complaints settled out of the courts system in a cost-effective, efficient and impartial way. There are at present 17 Insurance Ombudsman in different locations.
The value of the claim including expenses claimed is not above Rs 30 lakhs.
Paving the way for higher foreign direct investment (FDI) in the insurance industry, the Rajya Sabha has passed the insurance amendment bill to permit 74 per cent FDI in insurance companies as against the existing cap of 49 per cent.
Bancassurance is a relationship between a bank and an insurance company that is aimed at offering insurance products or insurance benefits to the bank’s customers. In this partnership, bank staff and tellers become the point of sale and point of contact for the customer
The Government of India through its Notification dated August 3, 2000, specified ‘Insurance’ as a permissible form of business that could be undertaken by banks under section 6(1)(o) of the Banking Regulation Act, 1949
There are 24 life insurance companies and 34 non life insurance companies are operating in India
According to Insurance Act of 1938, any new life insurance company or non-life insurance company must have a minimum paid up capital of Rs 100 crores
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Tags: Insurance Companies MCQ, Insurance Companies MCQ JAIIB
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