M.B.A. DEGREE EXAMINATION, APRIL 2016
Third Semester
LIFE ASSURANCE
(CBCS 2012 onwards)
Time 3 Hours Maximum 75 Marks
Part A 3 15)
Answer all questions.
1. Explain the term life assurance.
2. What is underwriting?
3. What is surrender value in insurance?
4. What is foreclosure?
5. What determines presumption of death?
Part B 10 50)
Answer all questions, choosing either or
6. Discuss the nature of insurance services industry.
Or
Discuss the factors affecting mortality rate.
7. Explain the various methods of underwriting.
Or
Discuss the role sources of underwriting data.
Sub. Code
632302
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8. Discuss briefly on the components of policy
document.
Or
Discuss the methods of calculating premium for
different types of insurance.
9. Discuss the procedure for foreclosure.
Or
Explain the calculation of surrender value.
10. Discuss the types of post maturity options.
Or
Explain the process involved in claims concession.
Part C 10 10)
Compulsory
11. Study the Case below and answer the question.
James represented a man who had been shot in the leg by
the driver of a vehicle in which the client was riding as a
passenger. The client sustained severe injuries to his leg
because of the gunshot. Prior to shooting the client, the
driver had removed the gun from the glovebox of his
vehicle. The insurerer's case investigation showed the
defendant driver had routinely used the vehicle to store
and transport the gun prior to the clients injury. The
defendant driver's insurance company denied the client
any insurance coverage for his injuries by claiming the
use of the gun was not connected with any use of the
insured vehicle. Litigation with the insurance company
was necessary. The court found in favor of the client by
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ruling that the driver's regular practice of storing and
transporting the gun in the vehicle was sufficiently tied
to the use of the vehicle for there to be insurance
coverage. While the case was on appeal to the North
Carolina Supreme Court the case was settled for the
amount of Rs. 3,50,000.
Question: How can using the process of exclusion of risks
be used in the above case?