LIC Assistant to Higher Grade Assistant (HGA) Promotion Exam Practice Quiz

Question 1

The principle that requires both parties to an insurance contract to disclose all material facts voluntarily is:

Accepted Answer

Utmost good faith (uberrimae fidei)

Question 2

In life insurance, insurable interest must exist:

Accepted Answer

At the time the contract is entered into

Question 3

A person is presumed to have an unlimited insurable interest in:

Accepted Answer

His or her own life

Question 4

Life insurance is generally NOT a contract of indemnity because:

Accepted Answer

The loss of a human life cannot be measured precisely in money

Question 5

The principle under which an insurer, after paying a claim, steps into the shoes of the insured to recover the loss from a third party is:

Accepted Answer

Subrogation

LIC Assistant to Higher Grade Assistant (HGA) Promotion Exam — Discussion