வறுமை நிலைக்கு பயந்து விடாதே ; திறமை இருக்கு மறந்து விடாதே '

புதுச்சேரி கடற்கரை மற்றும் நேரு வீதி பகுதியில் மாலை நேரத்தில் கையில் சுண்டல் வாளியுடன் சுறுசுறுப்பாக சுண்டல் விற்பனை செய்யும் ஒரு இளைஞரை பலரும் பார்த்திருப்பார்கள். ஆனால், அவர் பிஏ, எம்ஏ, எம்பில் முடித்து தற்போது பிஎச்டி படிப்பவர் என்பது பலரும் அறியாத விஷயம்.

“எங்களுடைய குடும்பம் மிகவும் ஏழ்மையானது. அப்பா சுப்பிரமணியன், துணிக்கடையில் விற்பனையாளராக இருந்தார். அம்மா சரஸ்வதி, 2 அக்காள், 2 அண்ணன், 1 தங்கை என மொத்தம் 6 பேர். வறுமையான சூழலில் அக்காள்களுக்கு திருமணம் நடந்தது. இந்த நிலையில் கடுமையான பண பிரச்சினை காரணமாக வீட்டில் உள்ள ஆண் குழந்தைகளை வேலைக்கு அனுப்ப எங்கள் குடும்பம் முடிவு செய்தது.

அப்போது, 1998-ம் ஆண்டு நான் 8-ம் வகுப்பு படித்தேன். என்னையும், மற்றொரு அண்ணன் சரவணக் குமாரையும் வேலைக்கு போகுமாறு வீட்டில் தெரிவித்தனர். எங்களுக்கு படிக்க ஆசை. அதனால் புதுச்சேரி கடற்கரையில் அமர்ந்து யோசித்தோம். அப்போதுதான், பீச்சில் சுண்டல் விற்பனை செய்ய முடிவு எடுத்தோம்.

முதலில் சுண்டல் விற்பனை செய்வது மிகவும் கஷ்டமாக இருந்தது. நான் மிகவும் அமைதியானவன். கூவி விற்கக்கூடத் தெரியாது. சில சமயம் சுண்டல் விற்காமலேயே போய்விடும். அதை என்ன செய்வது என்று தெரியாது. வீட்டிலோ வறுமை. சரியான ஆடை கூட இருக்காது.

அதனால், அண்ணனின் ஆடையை போட்டுக் கொள்வேன். இந்த நிலையில், சுண்டல் விற்றவாறே நான் படிப்பது பள்ளியில் பலருக்கும் தெரிய வந்தது. நான் அப்போது புதுச்சேரியில் உள்ள வீரமாமுனிவர் அரசு பள்ளியில் படித்து வந்தேன். எனது நிலையை உணர்ந்த என்னுடைய ஆசிரியர்கள் பத்மாவதி, பாலசுந்தரம், ராமதாஸ் ஆகியோர் உதவி செய்தார்கள்.

சுண்டல் விற்றவாறே படித்து, 10-ம் வகுப்பில் 442 மார்க் எடுத்தேன். அதையடுத்து வஉசி அரசு மேல்நிலைப ்பள்ளியில் சேர்ந்தேன். பின்னர் மேல்படிப்பு படிக்கும் ஆசையுடன் தாகூர் கல்லூரியில் பிஏ தமிழ் சேர்ந்தேன். அதன்பிறகு, எம்ஏ, எம்பில் முடித்தேன் .

படிப்புக்கு இடையே 2008-ல் நெட் தேர்விலும், 2013-ல் ஜேஆர்எப் (இளநிலை ஆராய்ச்சியாளர்) தேர்விலும் தேர்ச்சி பெற்றதால் பல்கலைக்கழகத்தில் இருந்து உதவித் தொகை கிடைக்க தொடங்கியுள்ளது. எனினும், இப்போதும் நான் சுண்டல் விற்கிறேன்.

எனது தந்தையால் வேலைக்கு செல்ல முடியவில்லை. அதனால், காலையில் எழுந்து சுண்டல், வடை, பஜ்ஜிக்கு தேவையான பொருட்களை வாங்கி வீட்டில் தருவேன். எனது அம்மா அதை தயாரிப்பார். நான் பல்கலைக்கழகம் சென்று விட்டு வீடு திரும்பிய பிறகு மாலை 6 மணிக்கு மேல் சுண்டல், சமோசா, போளி, கட்லெட், பஜ்ஜி, வடை ஆகியவற்றை எடுத்துக் கொண்டு பீச், நேரு வீதிக்கு விற்க வருவேன். விற்பனையை முடித்து விட்டு இரவு 10 மணிக்கு வீடு திரும்புவேன்.

பல்கலைக்கழக உதவித் தொகை கிடைத்தாலும் இந்த சுண்டல் வியாபாரம் மூலமாக எனது சகோதரிகள் திருமணத்துக்கு வாங்கிய கடனை அடைக்க முடிகிறது. என்னுடன் சுண்டல் விற்பனை செய்த எனது அண்ணன் சரவணக்குமார் தற்போது எம்ஏ, எம்பில், பிஎட் முடித்து அரசு பள்ளியில் ஆசிரியராக இருக்கிறார். மற்றொரு அண்ணன் பாலமுருகன் பிளாட்பாரத்தில் துணி விற்கிறார்.

நமக்குள் ஆசையும், முயற்சியும் இருந்தால் நம்மை ஊக்கப்படுத்த சமுதாயத்தில் பலரும் உள்ளனர் என்ற நம்பிக்கை ஏற்பட்டுள்ளது. சுண்டல் வாங்குவோர் தொடங்கி, பள்ளி ஆசிரியர்கள், பேராசிரியர்கள், நண்பர்கள் என பலரும் அளித்த ஊக்கம்தான் பிஎச்டி வரை என்னை கொண்டு வந்துள்ளது” என்று தன்னம்பிக்கையுடன் பேசுகிறார் பழனிராஜ். - தி இந்து .

## ' வறுமை நிலைக்கு பயந்து விடாதே ; திறமை இருக்கு மறந்து 
விடாதே ' என்ற பட்டுக்கோட்டையாரின் பாடலின் வடிவம்
தோழர் . பழனிராஜ் , வாழ்த்துக்கள் !

மூட்டு வலியை தீர்க்கும் முத்ரா பயிற்சி !!!

நம் உடலில் ஏற்படும் பிரச்னைகள் அனைத்திற்குமே மருத்துவரை சென்று அனுகுவதை விட சில எளிய பயிற்சிகள் மேற்கொள்வதின் மூலம் அவற்றை சுலபமாக சரிசெய்யலாம்.

40 வயதை கடந்து விட்டாலே மூட்டு வலி ஏற்படும் என்பதெல்லாம் அந்த காலங்க. இப்போதெல்லாம் சிறிய வயதுள்ளவர்களுக்கும் மூட்டு வலி பிரச்னை ஏற்படுகிறது. இதனை சில எளிய முத்ரா பயிற்சிகள் செய்வதன் மூலம் நிவாரணம் பெறலாம்.

வாயு முத்ரா எனப்படும் முத்ரா பயிற்சி செய்வதன் மூலம் மூட்டு வலியை சரிசெய்யலாங்க....

செய்யும் விதம்: ஆள்காட்டி விரலை நன்றாக மடக்கி கட்டை விரலின் அடிப்பாகத்தைத் தொடும்படி வைக்கவும். ஆட்காட்டி விரலின் நகத்தின் மேல் உள்ள சதைப் பகுதியில் கட்டை விரலை பதிய வையுங்கள். மற்ற மூன்று விரலையும் நேராக நிமிர்த்தி வையுங்கள் இதுவே வாயு முத்திரையாகும். தினந்தோறும் இந்த பயிற்சியை 15 நிமிடங்கள் தொடர்ந்து செய்து வர விரைவில் குணமாகும்.

இந்த முத்ராவை செய்வதன் மூலம் மூட்டுக்களில் ஏற்படும் பிரச்னைகள் அகலும். மேலும் இந்த மூத்திராவானது பக்கவாத வியாதியை வராமல் தடுக்கும் ஆற்றலுடையது. உணவு உண்ட பிறகு ஜீரணம் ஆவதற்கு கடினமாக உணர்ந்தால், வஜ்ர ஆசனா முறையில் அமர்ந்து இந்த முத்ராவை செய்யலாம்.
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Insurance examinations - Tips on insurance awareness - Part: 005

01. Glossary of insurance terms:

Abandonment – The insured relinquishes the ownership of the property, covered by the insurance policy to the insurance company

Additional cover- An insurance policy extended to cover additional risk perils such as strikes, riots and civil commotion etc., on payment of extra premium

Advolerem duty – Duty evaluated on percentage of cargo value

Affreightment- A contract for the carriage of goods by sea for payment expressed in bill of lading

Alien insurance – An insurance company domiciled in another country

Annuitant – The person who receives the annuity during whose life annuity is payable

Annuity consideration – An annuitant making one of the regular periodic payments for an annuity

Arbitration – A form of alternative dispute resolution where an unbiased person or panel gives an opinion about quantum of loss

Arson – The willful and malicious burning of the property often with criminal intent

Assessor – The person who estimates the value of goods for the purpose of apportioning the sum payable by the underwriters to settle the claims. He is also called as the surveyor

Assignment – An individual’s personal interest in an insurance policy transferred legally to another person

Association captive – It is a type of captive insurer owned by the members of a sponsoring organization or group such as a trade association

Assurance – Cover for an event that happens some time – e.g. death

Award – The decision in arbitration

Barratry – It is the wrongful act committed willfully by the master and/crew against the shipowner

Beaching – Voluntary standing of a vessel

Bonus – The amount added or allocated to the sum assured under a “par” life assurance policy

Burglary – It is a theft committed by breaking into or out of the premises and the evidence of breaking is essential in order to claim insurance benefits

Blanket contract – A contract of health insurance affording benefits, such as accidental death and dismemberment for all of a class of persons not individual identified and it is used for such groups as athletic teams, campers, travel policy for employees etc

Capital sum assured – It is the sum insured for which cover is required under a personal accident policy

Cession – Amount of the insurance ceded to a reinsurer by risk underwriting company in a reinsurance operation

Collective policy – A policy arranged by several insurance companies to cover large risks as no single insurer would like to run the risk

Contribution – Where several insurers cover the same property against the same risks and they share the loss

Cover note – It is the document that is issued provisionally pending issuance of insurance policy

Cross purchase plan – An agreement that provides that upon a business owner’s death, surviving owners will purchase the deceased’s interest, often with funds from life insurance

Deferred annuity – An annuity plan in which the income benefits begin at some specified future date

Disability income insurance – A health insurance plan providing periodic payments to replace income when the insured person is unable to work as a result of illness, injury and disease

Dismemberment insurance – A form of health insurance that provides payment in case of loss by bodily injury of one or more body members (such as hands or feet) or the sight of one or both eyes

Earned premium – The part of the total insurance policy premium which applies to the portion of the policy period which has already expired

Effective date – The date on which the insurance under a policy begins

Ex-gratia payment – The payment by an insurer made(out of grace) without any legal obligation to do so

Excess – The fixed amount of loss borne by the policyholder. When Rs. 1000/- is considered as excess, the first Rs. 1000 of claim has to be borne by the insured

Exclusions – The hazards or perils not covered by a policy of insurance and the loss arising out of these exclusions is not paid by the insurers

Face amount – The amount of insurance provided by an insurance policy and it is also called as sum assured

Facultative reinsurance – A type of reinsurance in which the reinsurer can accept or reject any risk presented by an insurance company seeking reinsurance

First party claim – A demand made by a policyholder reorting an insured event directly to his company

Fixed annuity – Annuity which guarantees a fixed amount for the periodic payments

Flat schedule – A type of schedule in group insurance under which everyone is insured for the same benefits regardless of salary, position or other circumstances

Guaranteed term – The insurance company cannot terminate the policy during the period of coverage under a life insurance policy

Immediate annuity – An annuity wherein payment begins immediately

Inchmaree clause – A clause included in marine insurance policy by which perils other than the perils of the sea are covered

Jettison – It means throwing off some of the cargo from the ship to save the ship from sinking

Jewellers block insurance – Broad policies insuring the jewelers  against all losses to their stock in trade

Juvenile insurance – Life insurance policies written on the lives of children within specified age limits

Key person insurance – Insurance designed to protect a business firm against the loss of income resulting from the death or disability of a key employee

Knock for knock agreement – Mutual agreement between insurance companies for simplifying and reducing administrative costs of settling motor insurance claims

Lapsed policy – A policy terminated because of non payment of premium

Level premium – A policy whereunder amount of premium remains unchanged during the entire term of the policy

Limited payment policy – Life assured pays the premium for a shorter duration than the term of the policy – i.e. the premiums are limited

Loss adjuster – A professional expert engaged by an insurer to establish the cause and amount of a loss or damage

Limits of liability – A sum fixed to be the maximum amount of the liability that an insurer may pay under a policy

Marine perils – The risks covered by a marine insurance policy

Material fact – The information having objective reality that influences an insurer in granting or not granting insurance coverage

Money insurance – the cover for loss of money from premises, home or in transit to/from the bank

Moral hazard – A condition or characteristic by which an insured intends to profit from an insured loss

Mortality table – A statistical table that indicates the probability of death and survival at each age

Net premium – The portion of the premium rate which is designed to cover the benefits of the policy excluding the expenses, contingencies and profit

No claim bonus – The reduction allowed in a renewal premium if no claim was made during the period of insurance

Open cover – It is a mechanism by which all the shipments are covered automatically

Optional renewal contract – A contract of insurance in which the insurer reserves the right to terminate that coverage at any anniversary or in some cases at any premium due date but does not have the right to terminate coverage between such dates

Package policy – It is a combination of two or more individual policies or coverages into a single policy. A householder’s policy for example is a package combining property, liability and theft coverages for the individual homeowner

Partial loss – Where the subject matter insured or goods are partly destroyed, there is partial loss. Partial loss may be particular average, general average or salvage charge

Particular average – In ocean marine insurance, a loss (partial or total) which falls on one or more property or interest being shipped as opposed to a general average

Plate glass insurance – A kind of insurance which provides for losses caused by breakage of glass

Professional indemnity – It is a cover granted to professionals covering their legal liability for any claims arising out of professional misconduct

Public liability insurance – A kind of insurance that offers protection to the insured against the legal liability for accidental death of or bodily injury to third parties or damage to their property arising from activities defined in the policy

Quota share reinsurance – It is an automatic reinsurance whereby the ceding company is bound to cede a fixed percentage of every risk written by it irrespective of the size or quality of the risk

Re-entry option – An option in a renewable term life policy under which the policyholder is guaranteed at the end of the term to be able to renew his or her coverage without evidence of insurability at a premium rate specified in the policy

Reciprocal insurance – It is an insurance done by insurance company at a reciprocal exchange. That is to say – the business is given to the reinsurer by insurance company and some business is placed by reinsurer with main insurer on a reciprocal basis

Renewal term insurance – A term policy that can be renewed for another period without evidence of insurability

Running down clause – The clause in an ocean marine hull policy which covers damage done to another ship by collision and other property damage caused by collision

Salvage – Recovery made by an insurance company by the sale of property which has been taken over from the insured as part of loss settlement and it can be the remains of damaged vehicle or any other property

Schedule rating – Adjusting the premium on the basis of physical conditions which affect the probability of loss

Self – insurance – Protecting against losses by settling aside own money instead of using conventional insurance

Sickness insurance – A form of health insurance providing benefits for loss resulting from illness or disease

Single premium – Payment of the entire premium in one instalment at the time of purchasing the policy

Sprinkler leakage insurance – A kind of insurance cover to provide for the damage caused by accidental flow of water from a sprinkler

Standard risk – Person who, according to a company’s underwriting standards, is entitled to insurance protection without extra rating or special restrictions

Substandard risk – Person who is considered as under average or impaired insurance risk because of physical condition, family or personal history of disease, occupation

Sue and labour clause – It is a marine insurance clause that requires the policyholder in the event of loss to take all necessary means to save the property from further loss and recover from others who caused the loss. The insurer agrees to pay the costs, even if they exceed the policy limits of liability

Suicide clause – A clause included in the life insurance policy which provides for non payment of sum assured in case of assured commits suicide

Temporary total disablement – Disablement suffered following an accident for a specified period of time

Third party – Any person other than the two parties signing an insurance contract

Tort – A civil wrong other than a breach of contract for which a court of law will afford legal relief e.g. harming another by an act of negligence while driving an auto

Total disability – As illness or injury that prevents an insured continuously performing every duty pertaining to his occupation or from engaging in any other type of work for remuneration

Total loss – Loss of all the insured property under a given policy, a loss involving the maximum amount for which policy is liable

Travel accident policy – A limited contract covering only accident while an insured person is travelling

Treaty – An agreement between a reinsurer and a ceding insurer setting forth details of the reinsurance agreement

Uberrima fidei – Utmost good faith; a duty to disclose all material facts

Uninsurable risk – That which is not acceptable for insurance due to excessive risk

Valued policy – A policy under which an agreed sum is paid to the insured in the event of total loss without deductions for wear and tear

Variable annuity – An annuity where the investment results of a life insurance company’s separate account for the variation in the benefits

Voluntary excess – A proposer for insurance agrees to bear a percentage of fixed amount for any loss generally to reduce the premium such as Es. 2000 excess for car insurance

Warehouse to warehouse clause – A clause included in the marine insurance policy which covers the risks from the originating warehouse to the terminating warehouse

Warranty – A statement by the insured on the literal truth of which the insurance contract depends

Waiver of premium – One of the provisions under an insurance policy where, during a period of continuous total disability lasting for specified period of time, the insured is relieved of premium payments falling due during that time

Insurance examinations - Tips on insurance awareness - Part: 004

01. What is a default?

·         If the premium is not paid within days of grace, it is considered to be in default and the policy is said to lapse.

·         If the insured happens to die within the days of grace and the premium has not been paid, the claim will be admitted in full and the premium for the current year will be deducted from the claim amount

02. What do you mean by lapse?

·         A payment within the days of grace is deemed to be a payment on the due date and if the premium is not received by the insurer, within the days of grace, there is a default on the part of the policyholder.

·         The insurer is entitled to say that the policy comes to an end. Such termination is called a lapse.

·         No claims arise on the policy after a lapse and all premiums are forfeited

03. What do you mean by paid up value?

·         Under this option, the sum assured is reduced to a sum which bears the same ratio to the full sum assured as the number of premiums actually paid bears to the total number originally stipulated in the policy.

·         Paid up value = (number of premiums paid x sum assured)/number of premiums payable

04. What do you mean by surrender value?

·         Surrender value or cash value is made available normally when the policy has remained in force for at least three years.

·         This is so, because in the first year, most of the premium goes out in expenses and there is little left for accumulation.

05. What do you mean by assignment?

·         Assignment transfers the rights, title and interest of the assignor to the assignee.

·         Legal provisions for assignment of insurance policies are available in almost all the countr

·         The assignment can be done by an endorsement on the policy or by a separate deed.

·         When the assignment is made by an endorsement on the polity itself, no stamp duty is necessary.

·         Separate deeds have to be stamped

·         It must be signed by the transferor or his duly authorized agent

·         The signature must be attested by a witness

·         The assignment is effective as soon as it is executed

·         It must be sent to the insurer along with a notice

·         The assignment is effective against the insurer only when the notice is delivered to the insurer

·         Where there is more than one instrument of assignment, the priority of claims shall be determined by the order in which the notices are delivered to the insurer

06. What is meant by revival of the policy?

·         When a policy lapses, it benefits neither the insurer nor the insured.

·         The insured loses the insurance risk cover for the full amount.

·         It signifies a reversal of the decision to arrange for the insurance cover and therefore, , exposes the policy holder adverse circumstances.

07. What are the requirements for  revival of policies?

·         Arrears of outstanding premiums with interest to be paid

·         Proof of continued good health to be submitted

·         A fee for reinstatement or revival, in the case of some insurers has to be paid

08. What do you mean by nomination?

·         It is a simple way to ensure easy payment of the policy moneys in the case of a death claim.

·         As per section 39 of the Insurance Act, 1938, the holder of a policy on his own life, may nominate the person or persons to whom the money secured by the policy shall be paid in the event of his death.

·         This can be made at the time of proposal or at any time during the currency of the policy.

·         A person having a policy on the life of another cannot effect a nomination.

09. What are the the features of nomination?

·         Nomination can be done before the issue of the policy by mentioning in the proposal form or by a letter giving details

·         It can also be issued after issue of the policy by an endorsement on the policy

·         Cannot be done by a separate deed

·         The holder of a policy on his own life : i.e. the life assured, alone can make nomination

·         Policyholder retains full control and can deal with the policy without the consent of the nominee

·         Need not be supported by a consideration

·         May be witnessed

·         Notice is required to be given to the insurer

·         Nominee has no right to sue under the policy

·         It can be altered by the life assured during the currency of the policy by cancellation of nomination or by an assignment

·         Where nominee is a minor, appointment of an appointee by the life assured only is required

·         Appointee can be appointed in the wording of the nomination

·         No vested interest is created in favor of nominee

·         Nominee’s right is only to collect policy moneys on the death of the assured, when paid by the insurer

·         If the nominee dies after the life assured and before settlement of the claim, the policy moneys would be payable to the heirs of the life assured

·         Creditors of the life assured can attach the policy moneys

10. What are the features of  assignment?

·         Can be done only after issue of the policy by endorsement on policy

·         Can be done also by a separate deed on stamped paper

·         The absolute owner of the policy may be either proposer or the life assured or the absolute assignee or conditional assignee to the extent of his interest, can make assignment

·         Policyholder loses control over the policy and assignee is the owner of the policy and can deal with it

·         Must be supported by a consideration

·         Must be witnessed

·         Notice is required to determine the priority between other assignees

·         Assignee has right to sue under the policy

·         It cannot be cancelled by the assignor

·         When assignee is a minor, guardian is to be appointed

·         Guardian cannot be appointed in the wording of the assignment

·         Assignee acquires interest

·         The assignee is entitled to deal with the policy and to receive the policy moneys

·         If the assignee dies at any time, the policy moneys would be payable to the heirs of the assignee

·         Creditors of the life assured cannot attach the policy moneys unless the assignment is shown to have been made to defraud the creditors

11. What do you mean by surrender of a policy?

·         A surrender is a voluntary termination of the contract by the policyholder

·         A policyholder can surrender the life insurance policy before it becomes a claim

·         Surrenders are not allowed unless the policy has run for a minimum period of time, which may vary from three to seven years.

·         The amount payable by the insurer to the policyholder on surrender is called the surrender value or cash value.

·         Surrender values are published and made known to policyholders by some insurers either as part of the prospectus or by mention in the policy conditions

12. What is a surrender value?

·         It is usually a percentage of the premiums paid or a percentage of the paid up value.

·         The percentage increases as the duration of the policy increases

·         The surrender value on a policy will be more after 15 years compared to the surrender value after ten years.

·         The percentage decreases as the original term of the policy increases

·         Between two policies of original term 20 and 30 years, both of which have been in force for the same fifteen years, the surrender value on the former will be more than on the latter.

13. What do you mean by  foreclosure?

·         Foreclosure means closure or writing off the policy before its actual maturity

·         When a loan is granted under a policy, the life assured has a choice to pay the interest or allow it to accumulate to be adjusted from the policy moneys payable when the claim arises.

·         This is possible only if the premiums are paid regularly and the policy remains in force.

·         In case of paid up policies, the surrender value will not grow as fast as the accumulated interest

·         The principal loan and accumulated interest could become more than the surrender value at some time

14. What do you mean by GIPSA?

·         It is an association called as – General Insurers’ (Public Sector) Association of India

·         It has its headquarters at New Delhi

·         The chairperson is Shri G. Srinivasan and Shri G. Srinivasan is the chairman and managing director of New India Assurance Company

·         The association has been formed by the four public sector non life insurance companies namely – New India Assurance Company; Oriental Insurance Company, National Insurance Company and United India Insurance Company

15. Whether a policyholder can have both paper and electronic policies?

·         Policyholders have the option to choose the form in which they want their policies issued – paper or electronic

·         A policy can be bought or maintained in one form only

·         The policyholder cannot have the policy in both forms

·         However, when a policyholder has more number of policies, he has the option keep some policies in paper form and the remaining policies in electronic form

16. What do you mean by – Annuity?

·         It is an agreement by an insurer to make periodic payments

·         The payments continue during the survival of the annuitant(s) or for a specified period

17. What do you mean by – claim?

·         It is a demand made by the insured or the insured’s beneficiary for payment of the benefits as provided by the policy

18. What is life insurance?

·         Life insurance is called as life assurance

·         It is a contract between an insured and an insurer

·         The insurer is the insurance policyholder

·         The insurer is the company who had issued the insurance policy (e.g. Life Insurance Corporation of India)

·         The insurer promises to pay a designated beneficiary a sum of money in exchange for a premium upon the death of the insured person

·         Depending upon the contract, other events such as terminal illness or critical illness may also trigger payment

·         The policy holder typically pays a premium either regularly or as a lump sum

·         Life policies are legal contracts and the terms of the contract describe the limitations of the insured events

19. What is meant by general insurance?

·         General insurance is basically an insurance policy that protects the policyholder against the losses and damages other than those covered by life insurance

·         The coverage period for most general insurance policies and plans is usually one year, whereby premiums are normally paid on one time basis

20. What are some  private sector insurance players?

·         Bajaj Allianz General Insurance

·         ICICI Lombard general insurance

·         IFFCO-Tokio General Insurance

·         Reliance General Insurance

·         Royal Sundaram Alliance Insurance

·         TATA AIG General Insurance

·         Cholamandam General Insurance

·         HDFC Ergo

21. What do you mean by – coverage?

·         It is the range of protection that the policyholder is  provided under an insurance policy

22. What do you mean by – death benefit?

·         The limit of insurance or the amount of benefit that will be paid in the event of the death of a covered person

23. What do you mean by – deductible?

·         The amount the policyholder has to pay out of pocket expenses before the insurance company covers the remaining costs

24. What do you mean by – exclusive?

·         The items which are not covered under the policy; however, are payable by the company as an incentive

25. What do you mean by – indemnity?

·         It is the restoration to the victim of a loss by payment, repair or replacement

26. What do you mean by insurable interest?

·         The interest in property such that loss or destruction of the property could cause a financial loss

27. What is called as – Insurance settlement?

·         It is a payment on an insurance claim

·         When a valid insurance claim is made, the insurer makes a payment to the policyholder and this payment is called as the insurance settlement

28. What do you mean by – lapse?

·         It is the termination of a policy due to failure to pay the required renewal premium

29. What do you mean by – paid up value?

·         When the policyholder stops paying the premiums; however, do not withdraw the money from the policy the policy is required as paid up and the value that can be paid up under such policy is called as paid up value

30. What do you mean by- peril?

·         It is the cause of the possible loss or damage

31. What do you mean by – reinsurance?

·         It is an insurance that an insurance company buys for its own protection

·         The risk of loss is spread so a disproportionately large loss under a single policy does not fall on one company

·         Reinsurance enables an insurance company to expand its capacity

·         It stabilizes its underwriting results

·         It finances its expanding volume

·         It secures catastrophic protection against stock losses

·         It also withdraws from a line of business or a geographical area within a specified time period

32. What is meant by – renewal?

·         It is the automatic re-establishment of in-force status effected by the payment of another premium

33. What do you mean by – rider?

·         It is an optional feature that can be added to a policy

·         The policyholder has to pay an additional premium to avail this benefit

34. What do you mean by – subrogation?

·         It is the right for an insurer to pursue a third party that caused an insurance loss to the insured

·         This is done as a means of recovering the amount of the claim paid to the insured for the loss

35. What do you mean by survival benefit?

·         It is the amount payable at the end of specified durations

·         These amounts are fixed and predetermined

36. What do you mean by – underwriting?

·         It is the process of selecting the risks for an insurance and determining as to what amount and on what terms the insurance company has to accept the terms

·         Unlike a term insurance cover, in case the policyholder is alive, the amount will be paid to the policyholder on the maturity of the plan

37. What are the primary functions of an insurance?

·         The functions of an insurance can be divided into three categories namely – primary functions, secondary functions and other functions

38. Which are the primary functions of an insurance?

·         Provides protection

·         Provides certainty

·         Distributes the risk

39. What are the secondary functions of an insurance?

·         Protection of loss

·         Provides capital

·         Increases efficiency

·         Provides adequate financial cover

·         Helps in judging the viability of major projects

40. What are the miscellaneous functions of an insurance?

·         It encourages savings

·         It promotes foreign trade

·         It checks inflation

·         It provides social security

·         It provides credit facilities during emergent situations

41. What are the specific principles of insurance?

·         Principle of cooperation

·         Principle of probability

·         Principle of insurable interest

·         Principle of utmost good faith

·         Principle of indemnity

·         Principle of subrogation

·         Principle of contribution

·         Principle of causa proxima

·         Principle of warranty

·         Principle of mitigation of loss

·         Principle of assignment