Terms of insurance - Jamb Commerce Past Questions and Answers

Question 1:

• JAMB 1994

Commerce is defined as the study of how

A. Man utilizes the resources in his physical environment
B. Man produces, distributes and consumes his goods and services
C. Man buys, sells and distributes goods and services
D. Raw materials are changed into finished goods

Question 2:

• JAMB 1994

A sole proprietor insured his goods worth N200,000 for half the value. There was a fire accident in which goods valued N80,000 were destroyed. The value of compensation expected from the insurer is

A. N40,000
B. N80,000
C. N100,000
D. N200,000

Question 3:

• JAMB 2019

The type of insurance policy that is compulsory in International trade so that all goods passing through the sea must be covered is considered to be________

A. The type of insurance policy that is compulsory in International trade so that all goods passing through the sea must be covered is considered to be
B. Aviation Insurance
C. Marine Insurance
D. Life Assurance

Question 4:

• JAMB 1994

A sole proprietor insured his goods worth N200,000 for half the value. There was a fire accident in which goods valued N80,000 were destroyed. The value of compensation expected from the insurer is

A. N40,000
B. N80,000
C. N100,000
D. N200,000

Question 5:

• JAMB 2001

Pooling of risk in insurance means that?

A. Compensations are paid out of a common fund
B. Two people can pool their risks to be insured
C. Two insurance companies can buy two policies
D. Insurance companies should encourage taking risks.