Insurance Sector in India UPSC Prelims Practice Quiz

Atal Pension Yojana is a pension scheme introduced by the Government of India in 2015–16. The objective of the scheme is to provide pension benefits to individuals in the unorganized sector. Hence statement 1 is correct. Atal Pension Yojana (APY) is open to all bank account holders who are not members of any statutory social security scheme. Hence statement 2 is incorrect. Atal Pension Yojana scheme is regulated and controlled by the Pension Funds Regulatory Authority of India (PFRDA). Beneficiaries of the scheme can choose to receive a periodic pension of Rs. 1000, Rs. 2000, Rs. 3000, Rs. 4000, or Rs. 5000, depending on their monthly contributions. Individuals who are above 18 years and below 40 years of age are eligible to invest in the Atal Pension Yojana. In the case of a beneficiary’s death, before he/she reaches 60 years of age, his/her spouse shall be entitled to receive a pension. As such, the spouse has an option to either exit the scheme with the corpus or continue to receive pension benefits. The spouse of the subscriber shall be entitled to receive the same pension amount even after the subscriber's death. Hence statement 3 is correct.

1. Protect the rights of policy holders 2. Provide registration certification to life insurance companies 3. Renew, Modify, Cancel or Suspend this registration certificate as and when appropriate. 4. Promoting efficiency in the conduct of insurance business; 5. Promoting and regulating professional organisations connected with the insurance and reinsurance business 6. Regulating investment of funds by insurance companies; 7. Adjudication of disputes between insurers and intermediaries or insurance intermediaries

The term “Insurance Repository” means a company formed and registered under the Companies Act, 1956 and that has granted a certificate of registration by Insurance Regulatory and Development Authority (IRDA) of India for maintaining data of insurance policies in Electronic form on behalf of Insurers. The Insurance Repositories provides the ease of holding insurance policies issued in an electronic form. In 2013 ,IRDA has issued licences to five entities to act as Insurance depositories — a) Central Insurance Repository Limited (CIRL). b) NSDL Database Management Limited. c) SHCIL Projects Limited. d) Karvy Insurance repository Limited. e) CAMS Repository Services Limited.

IGMS stands for Integrated Grievance Management System. It is a grievance redress monitoring tool for IRDA.

The Government of India (GOI) has allowed 49% Foreign Direct Investment (FDI) in the insurance sector.