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2026 Statistics

Key Facts: III IC-11 Exam

100

Online MCQs per paper

III Examination Handbook — Licentiate MCQ pattern

2 hours

Exam duration

III Examination Handbook

60%

Passing mark (75% Distinction)

III Examination Handbook

Credit points for IC-11

III credit-point system / Examination Handbook

INR 600

India paper fee (20 credits) w.e.f. 1.4.2026

III Table of Fees / revision-of-fees

INR 800

Fresh registration (India) w.e.f. 1.4.2026

III Table of Fees / revision-of-fees

9 chapters

IC-11 Revised Edition 2023 syllabus

III Professional Examination Syllabus

III IC-11 is a 100-question, 2-hour online MCQ Licentiate paper on general (non-life) insurance practice. Passing requires 60% (Distinction from 75%). India paper enrollment for this 20-credit subject is INR 600 w.e.f. 1.4.2026, plus INR 800 registration for fresh candidates (taxes extra). The nine-chapter 2023 syllabus spans products, underwriting, rating, claims, and reserves.

Sample III IC-11 Practice Questions

Try these sample questions to test your III IC-11 exam readiness. Each question includes a detailed explanation. Start the interactive quiz above for the full 100+ question experience with AI tutoring.

1In Indian insurance practice, general insurance primarily refers to which class of business?

A.Life assurance contracts only

B.Non-life insurance covering property, liability, and related risks

C.Only health insurance sold by life insurers

D.Only reinsurance accepted from overseas

Explanation: General (non-life) insurance covers property, liability, accident, engineering, marine, motor, and similar risks. Life assurance is a separate class under Indian insurance regulation and III curricula.

2Which statement best describes the principle of indemnity as applied in most general insurance policies?

A.The insured should profit from a loss

B.The insurer restores the insured to the pre-loss financial position, subject to policy terms

C.The insurer always pays the full sum insured regardless of loss size

D.Indemnity applies only to life policies

Explanation: Indemnity aims to put the insured back in the same financial position as before the loss, not better. Settlement is limited by actual loss, sum insured, excesses, and other policy conditions. Life insurance is generally valued, not indemnity-based.

3Utmost good faith (uberrimae fidei) in a general insurance contract primarily requires that:

A.Only the insurer must disclose material facts

B.Material facts need only be disclosed after a claim occurs

C.Only brokers owe a duty of disclosure

D.Both parties disclose all material facts that could influence the risk assessment

Explanation: Insurance contracts are contracts of utmost good faith. The proposer must disclose material facts known (or that ought to be known) that would influence a prudent underwriter, and the insurer must deal fairly. Failure can lead to avoidance or claim disputes.

4Proximate cause in a general insurance claim is best described as:

A.The dominant, effective cause that sets in motion a train of events leading to the loss

B.The most remote cause in a chain of events

C.Always the last event before the loss, without analysis

D.Any excluded peril mentioned anywhere in the policy

Explanation: Proximate cause is the dominant effective cause of the loss. Adjusters and courts look to the effective cause that produced the result in a natural sequence, which determines whether an insured peril operated.

5Contribution applies when:

A.Only one insurer exists in the market

B.The insured has no other insurance

C.Two or more policies cover the same interest, peril, and subject matter for the same period, and a loss occurs

D.A life policy and a fire policy cover different risks

Explanation: Contribution apportions loss among insurers when double insurance exists on the same interest, subject matter, and peril for the overlapping period. Each insurer pays its rateable proportion subject to policy conditions.

6Subrogation in general insurance allows the insurer, after indemnifying the insured, to:

A.Cancel all unrelated policies of the insured

B.Increase the sum insured retrospectively

C.Step into the insured’s shoes to recover from third parties responsible for the loss

D.Ignore policy excesses

Explanation: After paying an indemnity claim, the insurer is subrogated to the insured’s rights against third parties who caused the loss, up to the amount paid. This prevents the insured from recovering twice and helps control claim costs.

7Which Indian regulator oversees general insurance companies’ licensing and conduct of insurance business?

A.IRDAI (Insurance Regulatory and Development Authority of India)

B.SEBI alone

C.RBI alone for all insurance products

D.Only the Ministry of Corporate Affairs

Explanation: IRDAI regulates insurance and reinsurance business in India under the IRDA Act, 1999, and related regulations, including licensing, product filings, and policyholder protection for general insurers.

8A peril differs from a hazard in that a peril is:

A.A condition that increases the chance of loss

B.Always an excluded event

C.The cause of loss (for example, fire or flood)

D.Identical to moral hazard

Explanation: A peril is the cause of loss (fire, storm, collision). A hazard is a condition that increases the frequency or severity of loss (poor housekeeping, faulty wiring). Moral hazard relates to attitude/behaviour after insurance is bought.

9The policy schedule in a general insurance contract typically contains:

A.Key particulars such as insured name, period, sum insured, premium, and covered property/risks

B.Only the insurer’s statutory financial statements for the year

C.Only blank claim forms with no risk particulars

D.Only the wording of the insurer’s reinsurance treaty programme

Explanation: The schedule personalises the contract: parties, period of insurance, sums insured, locations, premium, and selected covers/endorsements. Wordings and clauses provide the detailed terms.

10An endorsement on a general insurance policy is used to:

A.Issue a brand-new policy number that cancels all prior cover automatically

B.Act solely as a premium receipt with no contractual effect

C.Serve only as non-binding marketing literature outside the contract

D.Alter, add, or delete terms of the original policy

Explanation: Endorsements modify the base policy—adding locations, changing sums insured, adding/excluding perils, or correcting particulars—while remaining part of the contract.

About the III IC-11 Exam

IC-11 Practice of General Insurance is the Insurance Institute of India's Licentiate paper on non-life insurance practice. The Revised Edition 2023 syllabus covers introduction to general insurance, policy documents, fire and marine products, motor/liability/personal accident/specialty lines, engineering and other insurances, underwriting, ratings and premiums, claims, and insurance reserves and accounting. The online MCQ paper awards 20 credit points toward the Licentiate certificate.

Assessment

100 objective multiple-choice questions in a single online paper. IC-11 is a 20-credit compulsory Licentiate subject for the general-insurance track (alongside IC-01 and optional credits to reach 60 points).

Time Limit

2 hours

Passing Score

60% (Distinction at 75% or above)

Exam Fee

INR 600 per subject (20 credit points) for India candidates; fresh candidates also pay INR 800 registration (inclusive of life membership). Taxes extra. Fees w.e.f. 1.4.2026 per III Table of Fees. (Insurance Institute of India (III))

III IC-11 Exam Content Outline

8 questions

Introduction to General Insurance

Non-life fundamentals: indemnity, utmost good faith, proximate cause, contribution, subrogation, perils/hazards, and regulatory context.

8 questions

Policy Documents and Forms

Proposal, schedule, endorsements, warranties, cover notes, exclusions, conditions precedent, and certificates.

16 questions

Fire & Marine Products

SFSP perils, average, BI, ICC cargo clauses, warehouse-to-warehouse, hull, and general average.

18 questions

Motor, Liability, PA & Specialty

Compulsory TP and package motor, NCB/IDV, liability lines, PA, burglary, money, and fidelity.

12 questions

Engineering & Other Insurances

CAR/EAR/CPM, machinery and boiler, EEI, ALOP/DSU, and related project covers.

12 questions

Underwriting

Selection and pricing, COPE, moral hazard, deductibles, File & Use, inspections, coinsurance, and reinsurance.

10 questions

Ratings & Premiums

Premium build-up, burning cost, exposure bases, detariffing, experience rating, GST, and catastrophe loads.

11 questions

Claims

Intimation, surveyors, documentation, settlement concepts, salvage, contribution, and fraud indicators.

5 questions

Insurance Reserves & Accounting

Outstanding claims, IBNR, UPR, combined ratio, and technical reserves.

How to Pass the III IC-11 Exam

What You Need to Know

Passing score: 60% (Distinction at 75% or above)
Assessment: 100 objective multiple-choice questions in a single online paper. IC-11 is a 20-credit compulsory Licentiate subject for the general-insurance track (alongside IC-01 and optional credits to reach 60 points).
Time limit: 2 hours
Exam fee: INR 600 per subject (20 credit points) for India candidates; fresh candidates also pay INR 800 registration (inclusive of life membership). Taxes extra. Fees w.e.f. 1.4.2026 per III Table of Fees.

Keys to Passing

Complete 500+ practice questions
Score 80%+ consistently before scheduling
Focus on highest-weighted sections
Use our AI tutor for tough concepts

III IC-11 Study Tips from Top Performers

1Study the official III IC-11 course (Revised Edition 2023) chapter by chapter before drilling mixed mocks.

2Memorise SFSP named perils vs add-ons, ICC A/B/C differences, and compulsory motor TP vs package OD.

3Practise average-clause and IDV/NCB numerical items under timed conditions.

4Review claim documents, surveyor role, IBNR/UPR definitions, and File & Use concepts for underwriting/rating questions.

5Sit full 100-question, 2-hour mocks aiming above 60%, with Distinction practice at 75%+.

Frequently Asked Questions

How many questions are on the III IC-11 exam?

III Licentiate objective papers, including IC-11, are 100 multiple-choice questions completed in 2 hours online.

What is the IC-11 passing score?

Passing marks for III online MCQ papers are 60% or above. Candidates scoring at least 75% earn Distinction in that subject.

How many credit points does IC-11 carry?

Practice of General Insurance (IC-11) carries 20 credit points. Licentiate certification requires 60 credit points including compulsory IC-01 and either IC-02 or IC-11 plus optional credits.

What is the IC-11 exam fee in India from April 2026?

III's Table of Fees effective 1.4.2026 lists INR 600 paper enrollment for a 20-credit-point subject and INR 800 registration for fresh candidates (India), plus applicable taxes. Study-course cost is separate.

What chapters are in the IC-11 syllabus?

III's Professional Examination Syllabus (Revised Edition 2023) lists nine chapters: Introduction; Policy Documents and forms; Products Part 1 (Fire & Marine); Products Part 2 (Motor, Liability, PA and Specialty); Products Part 3 (Engineering & other); Underwriting; Ratings & Premiums; Claims; and Insurance Reserves & Accounting.