Preview Questions Insurance Advisor | Role Specific Skill

Question 1: Which of the following actions is NOT a violation of the IRDAI's code of conduct for insurance advisors?

Which action should you take?

Choose only one option

Engaging in aggressive sales tactics

Providing clear and accurate information about policy terms

Disclosing client information to third parties without consent

Offering policies with premiums higher than prescribed by the insurer

Question 2: In advising a client interested in indexed universal life (IUL) policies for cash value accumulation, which recommendation approach best incorporates scenario testing of index caps, participation rates, and policy charges to prevent unrealistic expectations?

Which action should you take?

Choose only one option

Present solely the carrier's optimistic projection without stress tests

Provide multiple scenario analyses (low, medium, high), explain index mechanics (caps, spreads, participation), model policy charges impact, and highlight non-guaranteed elements

Show only an illustration with a single historical index average

Recommend IUL based solely on historical best-case returns

Question 3: Which of the following best describes the risk profile of a unit-linked insurance plan (ULIP)?

Which action should you take?

Choose only one option

It offers a return based on interest rates determined by the insurer

It is highly dependent on market performance and involves investment risks

It is a pure life insurance plan with no investment component

It guarantees a fixed return, irrespective of market conditions

Question 4: What is the primary consideration when assessing a client's risk tolerance for an insurance policy?

Which action should you take?

Choose only one option

The client's age and family structure

The client's long-term financial goals

The client's income and savings

The client's medical history

Question 5: What approach should an insurance advisor take when selling an insurance policy to a high-net-worth individual?

Which action should you take?

Choose only one option

Focus on the exclusivity and bespoke nature of the product

Offer generic solutions without customization

Offer generic, low-cost insurance policies

Push for the highest premium without explaining value

Question 6: Which of the following regulations is essential for maintaining ethical sales practices in insurance?

Which action should you take?

Choose only one option

Avoiding full disclosure about policy exclusions to make a sale

Focusing on the highest-selling products to maximize commissions

Offering discounts as a way to circumvent premium regulations

Ensuring that the product sold meets client needs and complies with policy conditions