LIC AAO Insurance Awareness Questions Asked in 2023

The LIC AAO Insurance Awareness Questions Asked in previous years play a vital role for candidates preparing for the upcoming LIC AAO Mains 2025 exam. Reviewing these questions helps aspirants understand the type, difficulty level, and areas frequently covered under the Insurance Awareness section. Since this section focuses on concepts related to insurance, banking, and financial policies, going through past-year questions enables candidates to identify recurring themes and important topics to revise.

LIC AAO Insurance Awareness Questions Asked

The Insurance Awareness section in 2023 was designed to test not just theoretical knowledge but also the practical understanding of policies, regulatory frameworks, and the functioning of the insurance industry in India. Candidates were expected to be familiar with the workings of LIC, IRDAI regulations, different types of insurance products, recent mergers and schemes, and government insurance initiatives.

LIC AAO Insurance Awareness Questions Asked in 2023

• The subscription list for a public issue is to be kept open for at least 3 working days and for a total period not exceeding 10 working days.
• The person assigning or transferring an insurance policy is called the Assignor.
• Headquarters of NASDAQ – New York, USA.
• When you opt out of a policy before its maturity, it is called surrendering the policy. The amount received at that time is the surrender value.
• Financial shenanigans are actions designed to misrepresent the true financial performance or position of a company.
• SWIFT – Society for Worldwide Interbank Financial Telecommunications.
• Bond prices and interest rates move in opposite directions.
• A dividend refers to a reward, in cash or otherwise, that a company gives to its shareholders.
• The Oriental Life Insurance Company, started by Europeans in Calcutta, was the first life insurance company in India.
• Instruments with a maturity of more than one year are not considered as money market instruments.
• IGST numerically equals CGST + SGST (i.e.,twice of CGST).
• Most life insurance policies come with a grace period of 30 days from the premium’s due date.
• Not a Credit Rating Agency – IBBI.
• The Insurance Amendment Bill, 2021 raised the FDI limit in the insurance sector from 49% to 74%.
• TEU – Twenty-foot Equivalent Unit.
• Documents of title to goods include bill of lading, dock warrant, warehouse keeper’s certificate, railway receipt, multimodal transport document, warrant or order for delivery of goods under the Sale of Goods Act, 1930.
• A Foreign Inward Remittance Certificate (FIRC) is a document that acts as proof of inward remittance to India.

• List of BSE Sensex 30 companies.
• An insurance contract is known as a contract of Uberrima Fides (Utmost Good Faith).
• SEBI regulates mutual funds and notified regulations in 1993.
• The All-India House Price Index (HPI) is a quarterly release by the RBI, based on transaction-level data from housing registration authorities in 10 major cities.
• Premium – the amount paid for a contract of insurance.
• Dematerialization is converting physical shares to electronic form, while Rematerialization is reconverting them into physical certificates (done within 30 days).
• Examples of entities that are not credit information companies.
• A reduction made to the accrued pension of a member to offset costs or changes in payment – Opportunity Cost.
• The issue when a company does not disclose its cash flow.
• The nature of charge for a home loan –Mortgage.
• Feedback on all services related to insurance.
• The separation of risk, investment, and expense in life insurance is called Unbundling.
• Free Look Period – a stipulated period during which the policyholder can review the terms and cancel the policy if not satisfied.

Preparation Tips for LIC AAO Mains 2025 Insurance Awareness

Preparing for the LIC AAO Mains 2025 Insurance Awareness section requires a smart and focused strategy. Since this section tests candidates’ understanding of the insurance sector, government schemes, and financial awareness, aspirants should build both conceptual clarity and factual knowledge. Regular revision, reading authentic resources, and solving previous year questions can significantly improve accuracy and confidence in this section. Here are some key preparation tips for LIC AAO Mains 2025 Insurance Awareness:

Understand Basic Insurance Concepts: Learn about life insurance, general insurance, reinsurance, and key terminologies like premium, claim settlement, and risk management.

Study Important Insurance Acts & Policies: Revise major insurance laws, IRDAI guidelines, and government-backed insurance schemes such as PMJJBY, PMSBY, and Ayushman Bharat.

Follow Current Affairs Related to Insurance: Keep track of the latest updates in the insurance and financial sectors through monthly current affairs PDFs or reliable news portals.

Revise LIC-Specific Information: Go through LIC’s products, organizational structure, recent appointments, and key statistics, as questions are often company-oriented.

Practice Previous Year Papers: Attempting past-year Insurance Awareness questions will help identify frequently asked topics and improve time management.

Make Short Notes for Quick Revision: Maintain concise notes of important facts, schemes, and updates for efficient last-minute review.