Start learning →

UIIC AO Nature of Insurance — practice questions

Explore 1 free Nature of Insurance questions in UIIC AO Insurance. Open each question or exercise to read its content, reference answers and available explanation.

Practise Nature of Insurance with Quill →

Nature of Insurance questions and exercises with answers

Showing questions 1–1 of 1.

Per the IRDA brochure, an insurance product is primarily a tool for:Read the answer and worked solution →

Worked practice questions

Per the IRDA brochure, an insurance product is primarily a tool for:

  1. Tax saving
  2. Risk protection
  3. Investment growth
  4. Liquidity
Show answer and solution

Correct answer: B. Risk protection

1. The brochure differentiates insurance from savings and investment products. 2. It emphasises the principal purpose of an insurance contract. 3. Insurance is primarily for risk protection — explicitly stated in the IRDA brochure. _Source: IRDA Brochure (irdai.gov.in — official IRDAI publication) — "AN INSURANCE PRODUCT IS DIFFERENT FROM A SAVING OR AN INVESTMENT PRODUCT. INSURANCE IS PRIMARILY FOR RISK PROTECTION."_

Open this question →

How to practise

  1. Choose a Nature of Insurance question and try to work out your answer.
  2. Open the question to check the correct answer and read its worked solution.
  3. Continue in the app for bite-sized lessons, explanations and review with Quill. You can start without creating an account.

More Insurance topics

Insurance IntermediariesInsurance Penetration and DensityInsurance Repository SystemIRDA Brief HistoryComposition of IRDAFinancial EducationFormation of IRDAGrievance Redressal