Online Access Free M92 Exam Questions

An international composite insurer is drafting its annual report. In accordance with the Companies Act 2006, what is the position regarding the inclusion of a chairman's statement in this report?

• A.It is only required if the company is listed on the London Stock Exchange.
• B.It is optional in all circumstances.
• C.It is a mandatory requirement for all composite insurers.
• D.It must be signed by the chief actuary.

Who would be responsible for compliance of the claims function if the activity was outsourced to a specialist claims-handling company?

• A.The broker who placed the business.
• B.The insurer would be solely responsible.
• C.The specialist claims-handling company solely.
• D.The policyholder.

What are an individual's rights Under the Data Protection Act concerning the right to have a copy of all records held on computer and paper concerning his motor insurance policy and its associated claims files.

• A.He has no right to have a copy of any of the records held on him.
• B.He has a right to a copy of computerised records only.
• C.He has a right to a copy of all paper records only.
• D.He has a right to a copy of all records on payment of a fee.

In the context of management information systems, a control cycle is best described as the

• A.process of encrypting sensitive client data.
• B.comparison against a plan and production of reports by exception.
• C.training program for new IT staff.
• D.full automation of the underwriting process.

An insurance company uses the double-entry accounting principle for recording insurance transactions to reflect that it has

• A.revalued its fixed assets.
• B.earned an amount of income which is balanced by an increase in cash.
• C.created a new liability that reduces equity.
• D.paid a claim and reduced its asset base.