The paper is designed to test the ability and understanding of the desired candidates who are preparing to work for insurance companies. What aspects are covered under insurance –both life and non-life insurance.The fundamental practices and principles of both type of insurance business are to be understood carefully.

Principles of Insurance and its importance

There are a good number of career options for candidates appearing in this exam. The primary option open to the candidates is the post of an insurance agent. The difference between Life and non-life in terms of insurance is very important in this field. Opportunities are also available in the non-life section.

Overview of the pattern of questions asked

There are a total of 10 questions from which the students have to give answers of any 8 questions, but the first question is compulsory carrying 16 marks. All other questions carry 12 marks each. The paper covers entire syllabus of the licentiate examination. Each question has got sub-questions therefore the choice of questions must be smart and scoring.

Some common questions from previous years question papers

Concept of risk and its types, management of risk, risk sharing and risk transfer, the Lloyds, insurance contract and the parties involved in that,  self insurance – advantages and disadvantages of self insurance, government as insurer, subrogation, life insurance business, general insurance business, co-insurance, indemnity, particular average, fidelity guarantee policy, constructive total loss, general average, case of family floater covering health insurance, asbestosis- workmen’s compensation, exclusions, registration of brokers, reinstatement value, salvage, sue and labor, insurable interest, solvency, detailed essentials of a valid contract as well as insurance contract, aims and objectives of regulations of insurance.

Total marks allotted and time given to solve this paper

The full marks set for the paper is 100 and a maximum of three hours is given for the paper.

Books that are recommended

• Practice of general insurance
• Regulations on insurance