PRINCIPLES OF INSURANCE Flashcards
1
Q
Insurance is the contract between insurer and the insured.
True / False
A
True
2
Q
Insurer is also known as assured.
True / False
A
false
3
Q
The demand made by the insured to the insurer to compensate for loss occurred due to mishap.
A
Claim
4
Q
The statement of contract between insurer and insured.
A
Policy
5
Q
The consideration for which the insurer agrees to insure the insured.
A
Premium
6
Q
The principle not applicable to life insurance.
A
Principle of Indemnity
7
Q
Insurance helps to maximize the risks in the business. True / False
A
False
8
Q
Insurable interest is applicable to all insurance contract.
True / False
A
True
9
Q
Find odd one: Principle of Utmost Good Faith Principle of Insurable interest Principle of Subrogation Principle of Indemnity
A
Principle of Indemnity
10
Q
Name the principle of insurance which says, Insured must always try to minimize the loss of the property.
A
Principle of Mitigation of loss
