IC-45 Compulsory · Associateship General Insurance

General Insurance Underwriting — Mock Tests & Exam Prep

General insurance underwriting — risk selection, rating structures, retention and the underwriting cycle for non-life business.

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622
Verified questions
100
Questions per exam
2 hrs
Exam duration
60%
Pass mark
30
Credit points

Try IC-45 free — 5 real questions

These are 5 of the 622 IC-45 questions in Certena, taken from across the paper. Every answer key has been checked against a source — a printed answer key, a textbook extract, or arithmetic — not guessed. Reveal the answer and the explanation below each question. No sign-up needed.

Question 1
As per the term ‘Contra Preferentum’ any ambiguous provision in the policy is constructed against the ________ .
  1. AIRDAI
  2. BInsured
  3. CInsurer
  4. DAgent
  5. EInsurance Broker
Show answer & explanation

Answer: C. Insurer

As per legal term ‘contra preferentum’ any ambiguous provision in the policy is constructed against the insurer. This means that any ambiguous provision in the policy is construed against the person who drafted the contract.

Question 2
Which of the following is unlikely to be a rating or underwriting factor in fire insurance ?
  1. AFire Extinguishers
  2. BBuilding security
  3. CConstruction
  4. DDeductible
Show answer & explanation

Answer: B. Building security

Building security like watchmen, cameras etc. are not underwriting factors in fire insurance.

Question 3
Which type of premium rating method is used in Group Mediclaim and Group Personal accident policies ?
  1. AExposure rating method
  2. BRetrospective rating method
  3. CProspective experience rating method
  4. DSchedule rating method
Show answer & explanation

Answer: B. Retrospective rating method

In IC-45 (General Insurance Underwriting), the principle governing this question establishes that 'Retrospective rating method' is the correct answer. Specifically, Which type of premium rating method is used in Group Mediclaim and Group Personal accident policies . Under regulatory and professional standards, 'Retrospective rating method' directly satisfies this requirement, whereas alternative choices represent different categories, inapplicable thresholds, or legally non-compliant practices.

Question 4
Under a Fire Declaration policy, refund of premium is subject to retention of ___ provisional premium.
  1. A15%
  2. B25%
  3. C50%
  4. D65%
  5. E75%
Show answer & explanation

Answer: C. 50%

Under a Standard Fire Declaration Policy used for fluctuating stock values, the insured pays an initial provisional premium. When declarations are finalized at year-end, any refund of premium allowed based on actual average values is subject to the insurer retaining a minimum of 50% of the provisional premium.

Question 5
The pertinent elements that are used to add up the rates make the rating plan and the various specific elements in it are known as ________ .
  1. ARelevant factors
  2. BPremium factors
  3. CRating factors
  4. DConsiderate factors
  5. EDeterministic factors
Show answer & explanation

Answer: C. Rating factors

Rates are based on various risk exposures faced by the subject matter of insurance. However, the pertinent elements that are used to add up the rates make the rating plan and the various specific elements in it are known as rating factors.

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What you'll practise

📝
Real exam-style MCQs
Question bank aligned to the III syllabus for IC-45.
⏱
Timed mock exams
Full 100-question, 2-hour papers that mirror the real III format.
💡
Instant explanations
Every question includes a clear explanation of why the answer is correct.
🔁
Spaced repetition
Missed questions resurface at the right time so you retain them.

Chapters covered

  1. 1.Introduction to Underwriting
  2. 2.Methodology and Procedures
  3. 3.Principles of Rate Making
  4. 4.Rating Approaches & Pricing Methods
  5. 5.IRDA File & Use Guidelines
  6. 6.File & Use Applications
  7. 7.Tools of Underwriting
  8. 8.Types of Policies
  9. 9.Underwriting Profitability
  10. 10.Protection of Policyholders
  11. 11.R&D and Product Innovation
  12. 12.IT Applications

Frequently asked questions

What is IC-45?
IC-45 (General Insurance Underwriting) is a compulsory Associateship-level examination offered by the Insurance Institute of India (III). General insurance underwriting — risk selection, rating structures, retention and the underwriting cycle for non-life business.
How many questions are in the IC-45 exam?
The IC-45 exam has 100 MCQs to be answered in 120 minutes (2 hours). All questions must be attempted — there is no negative marking.
What is the pass mark for IC-45?
You need to score at least 60% to pass IC-45. Scoring 75% or above earns a Distinction grade.
How many credit points does IC-45 carry?
IC-45 carries 30 credit points. These count toward your III certification — 60 credits for Licentiate, 250 for Associateship, 490 for Fellowship.

Related subjects

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Principles of Insurance
IC-11
Practice of General Insurance
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General Insurance Accounts Preparation & Regulation of Investment
IC-14
Regulations of Insurance Business
IC-27
Health Insurance
IC-29
General Insurance Claims

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