Practice question and answer exam for LIC agent | Question Bank with answer of LIC Exam (Section C)

1. State which of the following statements is correct

• ULIPs provide for flexibility *
• ULIPs are better than traditional policies
• Both the above statements are correct
• Both the above statements are wrong

2. State which of the following statements is correct

• In ULIPs, the premium payable is based on the insurer’s table of rates
• In ULIPs, NAVs are decided by the insurers themselves
• Both the above statements are correct
• Both the above statements are wrong *

3. State which of the following statements is correct

• In ULIPs, the premium payable must be the same every year
• In ULIPs the death benefit is a guaranteed figure
• Both the above statements are correct
• Both the above statements are wrong *

4. State which of the following statements is correct

• In ULIPs the entire premium paid is invested in the chosen fund.
• The entire premium less cost of insurance is invested in the chosen fund
• Both the above statements are correct
• Both the above statements are wrong *

5. State which of the following statements is correct

• In ULIPs the insurance cover must be a minimum multiple of the premium *
• ULIPs can be surrendered after two years
• Both the above statements are correct
• Both the above statements are wrong

6 State which of the following statements is correct

• ULIPs cannot be issued as participating policies
• Loans are not given under ULIPs
• Both the above statements are correct *
• Both the above statements are wrong

7. State which of the following statements is correct

• In ULIPs the premium is invested in a fund decided by the insurer
• In ULIPs the premium is invested in a fund decided by the policyholder *
• Both the above statements are correct
• Both the above statements are wrong

8. State which of the following statements is correct

• The NAVs of the Growth funds of all insurers will be the same
• The NAVs of all the funds of all the insurers will vary *
• Both the above statements are correct
• Both the above statements are wrong

9. State which of the following statements is correct

• In ULIPs, the premium will be invested as per the Offer price *
• The Offer price will always be higher than the Bid price
• Both the above statements are correct
• Both the above statements are wrong

10. State which of the following statements is correct

• In ULIPs, the Offer Bid spread is the difference between the two prices
• In ULIPs, the Offer Bid spread, will in some cases be zero
• Both the above statements are correct *
• Both the above statements are wrong

11. State which of the following statements is correct

• In ULIPS, a policyholder can switch between funds at any time
• In ULIPs, the premium to be invested in the fund can be increased in any year
• Both the above statements are correct *
• Both the above statements are wrong

12. State which of the following statements is correct

• In ULIPs, a policyholder can switch between funds at any time *
• There is always a charge for switching between funds
• Both the above statements are correct
• Both the above statements are wrong

13 State which of the following statements is correct

• In ULIPs, the best benefits come from Growth funds
• In ULIPs, the best benefits come from the Balanced funds
• Both the above statements are correct
• Both the above statements are wrong *

14. State which of the following statements is correct

• In ULIPs, no money can be withdrawn within 5 years
• In ULIPs, death claims are not paid during the lock-in period
• Both the above statements are correct
• Both the above statements are wrong *

15. State which of the following statements is correct

• In ULIPs, the amount payable on death is a fixed amount
• In ULIPs, the NAV of a fund can be less than purchase price *
• Both the above statements are correct
• Both the above statements are wrong

16. State which of the following statements is correct

• In ULIPs, the SA must be not less than 1.25 times Single premium
• In ULIPs, thje SA must not be less than 5 times instalment premium
• Both the above statements are correct *
• Both the above statements are wrong

17. State which of the following statements is correct

• In ULIPs the premium paid is invested in full in the funds
• In ULIPs, only the allocated premium is invested in the funds *
• Both the above statements are correct
• Both the above statements are wrong

18. State which of the following statements is correct

• In ULIPs, the insurer is responsible for the benefits under then policy
• In ULIPs, the policyholder is responsible for the benefits under the policy *
• Both the above statements are correct
• Both the above statements are wrong

19. State which of the following statements is correct

• In ULIPs, the NAVs are known only to the insurers
• In ULIPs, the NAVs are published regularly. *
• Both the above statements are correct
• Both the above statements are wrong

20 State which of the following statements is correct

• In ULIPs, one can pay additional premium in any year for investment *
• In ULIPs, if one increases the premium, the SA must also be increased.
• Both the above statements are correct
• Both the above statements are wrong

21 State which of the following statements is correct

• In ULIPs, one can pay additional premium in any year for investment
• In ULIPs, the lock in period will apply, if additional premium is paid any year
• Both the above statements are correct *
• Both the above statements are wrong

22. State which of the following statements is correct

• In ULIPs, if the policy is terminated earlier, a charge has to be paid
• In ULIPs, an administrative charge has to be paid every year
• Both the above statements are correct
• Both the above statements are wrong

23 State which of the following statements is correct

• In ULIPs, riders can be availed of
• In ULIPs, the riders will be based on the basic SA and not NAVs
• Both the above statements are correct *
• Both the above statements are wrong

24. State which of the following statements is correct

• In ULIPs, the death benefit may be ‘integrated’
• In ULIPs, the death benefit will be the basic SA only
• Both the above statements are correct *
• Both the above statements are wrong

25. State which of the following statements is correct

• In ULIPs, loans are available
• In ULIPs, partial withdrawals are permitted periodically *
• Both the above statements are correct
• Both the above statements are wrong