BCP Claims and Underwriting

Question 1

What is 'underwriting' in the Singapore insurance context?

Accepted Answer

The process of evaluating and assessing risks to determine whether to accept a proposal and at what premium

Answer

The process of selling insurance policies

Answer

The process of paying claims

Answer

The process of renewing policies

Question 2

What is a 'proposal form' in Singapore insurance?

Accepted Answer

An application form completed by the applicant providing details for underwriting

Answer

A marketing brochure

Answer

A claim settlement document

Answer

A policy renewal notice

Question 3

In Singapore insurance claims, what does 'first notification of loss' mean?

Accepted Answer

The initial report by the policyholder to the insurer about a loss or incident

Answer

The first premium payment

Answer

The insurer's first letter to the policyholder

Answer

The agent's first visit to the client

Question 4

What is a 'warranty' in a Singapore insurance contract?

Accepted Answer

A condition the insured must strictly comply with; breach may void the policy

Answer

A promise by the insurer to always pay claims

Answer

A guarantee of premium refund

Answer

An optional add-on benefit

Question 5

What role does a 'loss adjuster' play in Singapore insurance claims?

Accepted Answer

Independently investigates and assesses the extent of loss on behalf of the insurer

Answer

Sells insurance policies

Answer

Sets the premium rate

Answer

Manages the policyholder's investments

Question 6

What happens if an insured person in Singapore makes a fraudulent claim?

Accepted Answer

The entire claim may be rejected and the policy voided; criminal prosecution is also possible

Answer

The insurer must still pay the genuine portion

Answer

The insurer pays half the claim amount

Answer

Nothing, as fraud is not checked in Singapore