Insurance Awareness Questions for Upcoming Insurance Exams

Insurance Awareness Questions for NIACL Assistant, NIACL AO, NICL AO, LIC AAO and other insurance exams. Insurance Awareness Questions History of Insurance

1. Which of the following is the first Indian Life Insurance Company established in India?
   A) Oriental Life Insurance Company
   B) Bombay Mutual Life Assurance Company
   C) Life Insurance Corporation
   D) Empire of India
   
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   Option B
   Explanation: In 1818, Oriental Life Insurance Company was started however it was started by Europeans. First Indian Life Insurance Company was Bombay Mutual Life Assurance company in 1870
2. Life Insurance Companies Act was passed in which year?
   A) 1818
   B) 1918
   C) 1912
   D) 1945
   
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   Option C
   Explanation: 1912
   The Life Insurance Companies Act, 1912 made it necessary that the premium rate tables and periodical valuations of companies should be certified by an actuary.
3. Which of the following is the first legislation governing both Life Insurance and Non-life insurance?
   A) Life Insurance Companies Act, 1912
   B) Life Insurance Companies Act, 1920
   C) The Insurance Act, 1938
   D) Life Insurance Corporation Act, 1956
   
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   Option C
   Explanation: The Insurance Act 1938 was the first legislation governing not only life insurance but also non-life insurance to provide strict state control over insurance business.
4. General Insurance business was nationalized in India in which year?
   A) 1956
   B) 1945
   C) 1970
   D) 1973
   
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   Option D
   Explanation: 1973
5. In which year IRDA Act was passed?
   A) 1988
   B) 1999
   C) 2001
   D) 1938
   
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   Option B
   Explanation: 1999
6. Life Insurance in India was nationalized in which year?
   A) 1945
   B) 1950
   C) 1956
   D) 1972
   
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   Option C
   Explanation: On 19th of January, 1956, that life insurance in India was nationalized. About 154 Indian insurance companies, 16 non-Indian companies and 75 provident were operating in India at the time of nationalization. Nationalization was accomplished in two stages; initially the management of the companies was taken over by means of an Ordinance, and later, the ownership too by means of a comprehensive bill.
7. Which committee was formed in 1993 to propose recommendation for initiation and implementation of reforms in the Indian Insurance Sector?
   A) A.C. Shah Commitee
   B) R.N. Malhotra Committee
   C) AK Bhuchar Committee
   D) CE Kamath Committee
   
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   Option B
   Explanation: R.N. Malhotra Committee
8. In which year was The Indian Insurance Companies Act enacted to enable the government to collect statistical information about both life and non-life insurance businesses?
   A) 1912
   B) 1918
   C) 1928
   D) 1945
   
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   Option C
   Explanation: Indian Insurance Companies Act , 1928
9. In which year General Insurance Corporation of India(GIC) notified as the Indian Reinsurer?
   A) 1972
   B) 1999
   C) 2000
   D) 2004
   
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   Option C
   Explanation: In November 2000, GIC was renotified as the Indian Reinsurer and through administrative instruction, its supervisory role over the four subsidiaries was ended.
10. Life Insurance business started in Indian in 1818 with the advent of which of the following company?
    A) Bharat Insurance Company
    B) Oriental Life Insurance Company
    C) United India Insurance
    D) National Indian Insurance
    
    View Answer

    Option B
    Explanation: 1818 saw the advent of life insurance business in India with the establishment of the Oriental Life Insurance Company in Calcutta.

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