Insurance & FM Awareness Quiz For LIC ADO Mains 2023-13th April

Q1. What is the guaranteed rate of return offered under the Varishtha Pension Bima Yojana?
(a) 5%
(b) 7%
(c) 9%
(d) 11%
(e) 13%
Q2. How is the pension payment frequency determined under the Varishtha Pension Bima Yojana?
(a) Pensioners cannot choose the frequency
(b) Pensioners can choose a yearly or monthly frequency
(c) Pensioners can choose a half-yearly or monthly frequency
(d) Pensioners can choose a quarterly, half-yearly, monthly, or annual frequency
(e) Pensioners can choose a monthly or bi-monthly frequency
Q3. Who administers the Varishtha Pension Bima Yojana?
(a) The Government of India
(b) The Reserve Bank of India
(c) The Securities and Exchange Board of India
(d) The Insurance Regulatory and Development Authority of India
(e) The Life Insurance Corporation of India
Q4. Who is eligible for the Varishtha Pension Bima Yojana scheme?
(a) Citizens above 50 years
(b) Citizens above 60 years
(c) Citizens above 70 years
(d) Citizens above 80 years
(e) None of the above
Q5. How long should the policy under Varishtha Pension Bima Yojana (VPBY) be surrendered after completion?
(a) After 5 years of completion
(b) After 10 years of completion
(c) After 15 years of completion
(d) After 20 years of completion
(e) None of the above
Q6. What is the benefit of the Varishtha Pension Bima Yojana (VPBY) scheme?
(a) Cash transactions, cheques, or demand drafts are required to purchase the policy
(b) The pension rate of return is lower than other senior citizen pension schemes
(c) The pension payment mode cannot be chosen by the policyholders
(d) The policy can be canceled within 30 days of purchase
(e) The premiums paid are exempted under Section 80C of the Income Tax Act
Q7. How can policyholders receive their pension under the Varishtha Pension Bima Yojana (VPBY) scheme?
(a) Only annually
(b) Only quarterly
(c) Only half-yearly
(d) Both quarterly and half-yearly
(e) All of the above
Q8. What happens if the policyholder dies under the Varishtha Pension Bima Yojana (VPBY) scheme?
(a) The premium amount is not refunded to the spouse or nominee
(b) The policy is terminated, and no benefits are given to the spouse or nominee
(c) The premium amount can be refunded to the spouse or nominee as a death benefit
(d) The spouse or nominee has to pay additional charges to receive the death benefit
(e) None of the above
Q9. When can policyholders raise a loan against the Varishtha Pension Bima Yojana (VPBY) scheme?
(a) After one year of purchasing the policy
(b) After two years of purchasing the policy
(c) After three years of purchasing the policy
(d) After four years of purchasing the policy
(e) After five years of purchasing the policy
Q10. Which of the following is NOT a feature of the Varishtha Pension Bima Yojana (VPBY) Scheme?
(a) No medical checkups are required for policyholders
(b) Exit load charges on withdrawal of the premium amount
(c) Lock-in period of 5 years
(d) Policy surrenders after 15 years
(e) Loan against the scheme after 3 years

Solutions

S1. Ans. (c)
Sol. The Varishtha Pension Bima Yojana offers a guaranteed 9% rate of return to senior citizens.
S2. Ans. (d)
Sol. Pensioners can choose a quarterly, half-yearly, monthly, or annual frequency. The pension payment frequency can be selected based on the pensioner’s needs and convenience.
S3. Ans. (e)
Sol. The Life Insurance Corporation of India administers the Varishtha Pension Bima Yojana, even though it was announced by the Government of India.
S4. Ans. (b)
Sol. Citizens above 60 years are eligible for the Varishtha Pension Bima Yojana scheme.
S5. Ans. (c)
Sol. The policy under Varishtha Pension Bima Yojana (VPBY) should be surrendered after the completion of 15 years.
S6. Ans. (e)
Sol. Policyholders can enjoy benefits on income tax as the premiums paid will be exempted under Section 80C of the Income Tax Act.
S7. Ans. (e)
Sol. Pensioners can choose the pension payment mode whether it is yearly, monthly, half-yearly, or quarterly.
S8. Ans. (c)
Sol. If the policyholder dies, the premium amount can be refunded to the spouse or nominee as a death benefit.
S9. Ans. (c)
Sol. Policyholders can raise a loan against the Varishtha Pension Bima Yojana (VPBY) scheme after three years.
S10. Ans. (c)
Sol. The Varishtha Pension Bima Yojana (VPBY) scheme has a lock-in period of 15 years.