1.It was not easy for Ramesh to decide and start his own Marine Processing and Export unit after completing his MBA from a reputed Management Institute. Every one advised him to go for a job with a fat salary but Ramesh was quite fascinated to become an entrepreneur and ready to accept challenge. He had taken a Production Unit which was not running for last 2 years located near his city, on lease for 5 years and took a loan of Rs.500.00 lakhs for his business. He could arrange fund of Rs.100.00 lakhs from relatives and family members. He has done adequate market research and taking help and guidance from one of his senior in college, who run a similar business at another city. a. Identify and classify 10 major risks to which Ramesh and his business are exposed to. b. How such risks can be best managed by him? 2.Insurance is one of the best tool to manage risk and insurance market in our country is also growing at a very attractive growth rate. Demand for life, health, motor and other insurance products are continuously increasing and more and more players are entering into insurance business every year. Both life and non-life or general insurance products which can cover risk relating to life, health, disability, property and liability are not only required by many but can save many from distress when there is any loss due to a peril. However, insurance being a contract is guided by the Indian Contract Act, 1872 and a few fundamental principles which plays very important role at the time of taking an insurance policy, when the policy is in force and also at the time of claim settlement. In context of the above, give your perspective on the following with proper justification: a. What is the requirement of each of the fundamental principle in relation to any insurance policy? b. Why there is a consideration amount called premium is charged by an insurance company? c. Does Indian insurance market really performing well when insurance penetration and density is considered as performance indicator?
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1.It was not easy for Ramesh to decide and start his own Marine Processing and Export unit after completing his MBA from a reputed Management Institute. Every one advised him to go for a job with a fat salary but Ramesh was quite fascinated to become an entrepreneur and ready to accept challenge. He had taken a Production Unit which was not running for last 2 years located near his city, on lease for 5 years and took a loan of Rs.500.00 lakhs for his business. He could arrange fund of Rs.100.00 lakhs from relatives and family members. He has done adequate
a. Identify and classify 10 major risks to which Ramesh and his business are exposed to. b. How such risks can be best managed by him? |
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2.Insurance is one of the best tool to manage risk and insurance market in our country is also growing at a very attractive growth rate. Demand for life, health, motor and other insurance products are continuously increasing and more and more players are entering into insurance business every year. Both life and non-life or general insurance products which can cover risk relating to life, health, disability, property and liability are not only required by many but can save many from distress when there is any loss due to a peril. However, insurance being a contract is guided by the Indian Contract Act, 1872 and a few fundamental principles which plays very important role at the time of taking an insurance policy, when the policy is in force and also at the time of claim settlement.
In context of the above, give your perspective on the following with proper justification:
a. What is the requirement of each of the fundamental principle in relation to any insurance policy?
b. Why there is a consideration amount called premium is charged by an insurance company?
c. Does Indian insurance market really performing well when insurance penetration and density is considered as performance indicator? |
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