SET A

1. General Takaful is a form of Sharī’ah-compliant risk management based on the principle of risk
sharing covering participants against financial losses, liability or injury due to or following___.
A. The death of an individual
B. The temporary and permanent disability of a person
C. A misfortune or accident occurring to properties, assets or persons
D. An omission of the takaful operator.

2. General Takaful is a risk management tool that manages risk exposures by taking into account the

I. pre-loss objectives
II. post-loss objectives
III. conditional takaful objectives
IV. absolute loss objectives

A. I & II
B. I, II & III
C. I, III & IV
D. All of the above

3. The pre-loss objectives in general takaful will take into account the following considerations

I. Prepare for potential losses in the most economical way

II. Reduce fear and worry
III. Compliance with law
IV. Stability of earnings

A. I & II
B. I, II & III
C. I, III & IV
D. All of the above

4. The post-loss objectives in general takaful will take into account the following considerations

I. Completeness and speed of recovery

II. Survival of the organization
III. Compliance with law
IV. Stability of earnings

A. I & II
B. I, II & III
C. I, II & IV
D. All of the above

5. The General Takaful contracts usually last _____________ and at the end of that period, can be
renewed by mutual consent of the Takaful Operator and the participant.
A. last one month or less
B. last one year or less
C. last one month or more
D. last one year or more
6. At the end of the general takaful contract, the Takaful Operator will reassess the risk and
possibly charge a different contribution rate due to
I. Change in the nature of the individual risk to be covered
II. Overall change in the certificate/ contribution rates for that particular class of business
III. a change in the Takaful Operators surplus
IV. a change in the shareholder’s fund requiring more contributions
A. I & II
B. I, II & III
C. I, II & IV
D. All of the above

7. A General Takaful aims to place the participant in the same financial position before the
occurrence of the loss, subject to the maximum limits of the covered amount is called
A. A contract of adhesion
B. A contract of cohesion
C. A contract of replacement
D. A contract of indemnity

8. Under a General Takaful the risk can decrease with duration. Select the example below which is
NOT TRUE.
A. Installation of water sprinklers for the building
B. Installation of water an alarm for the building
C. Using more non inflammable materials in re-construction and renovations
D. Storing more inflammable disposal materials in a general storage area

9. All of the following are General Takaful principles EXCEPT

A. Principle of Permissible Takaful Interest
B. Principle of Utmost Good Faith
C. Principle of Restitution
D. Principle of Subrogation

10. The principles applied in the general takaful business will include all of the following EXCEPT
A. Principle of Subrogation
B. Principle of Consideration
C. Principle of Contribution
D. Principle of Proximate Cause

11. The actual amount of indemnity in a general takaful contract will be based on
A. The sum covered or the market values whichever is lower
B. The sum covered or the market values whichever is higher
C. In proportion of the amount of contributions paid to date
D. In proportion to the achievement of the takaful operator’s profit target

12. Participant A’s house was destroyed due to a fire from factory located next to it. The Takaful
Operator paid the claim. The factory owner was responsible for the loss, the Takaful Operator
can claim the amount from the factory owner under the
A. Principle of Subrogation
B. Principle of Consideration
C. Principle of Contribution
D. Principle of Proximate Cause
13. The _________________ is applied to General Takaful in order to prevent the participant from
making profit out of multiple claims for the same loss from different Takaful Operators.
A. Principle of Subrogation
B. Principle of Consideration
C. Principle of Contribution
D. Principle of Proximate Cause

14. The Principle of Contribution can only be applied if the following conditions are fulfilled. Select
the CORRECT combination below.

I. The same interest (i.e. applied only when the same person covers the same interest with
more than one insurer)
II. The same subject matter interest (i.e., both the certificates must cover the same item in
respect of which a claim is made)
III. The same peril (i.e. contribution arises only if both certificates include the same perils
which caused the loss)
IV. the sum covered or the market values whichever is lower

A. I & II
B. I, II & III
C. I, II & IV
D. All of the above

15. The Sharī’ah Legal Maxim (Qawā’id al-Fiqhiyyah), ‘al-Ḍararu Yuzāl’ means
A. No one is perfect
B. Harm must be eliminated
C. Protection is required
D. Compulsion is forbidden

16. Select the STATEMENT below that is NOT TRUE.

A. The principle of subrogation applies to both family and general takaful.
B. Moral risk is lower in family takaful than general takaful
C. Acquisition costs are lower in general takaful than family takaful
D. The principle of indemnity applies to general takaful only.

17. As a customary practice, General Takaful business is categorized into _________ classes.
A. Four
B. Two
C. Three
D. Five

18. All of the following legislations are relevant to the motor Insurance and takaful industry in
Malaysia EXCEPT
A. Financial Services Act 2013
B. Islamic Financial Service Act 2013
C. Road Transport Act 1987 (RTA 1987)
D. Takaful Act 1984
19. Under _______, it is an offence for anyone to use, or cause to permit another to use, a motor
vehicle on a road unless there is in force in relation to the use of that vehicle an inspection
certificate in respect of death or bodily injury to a third party.
A. Financial Services Act 2013
B. Islamic Financial Service Act 2013
C. Road Transport Act 1987 (RTA 1987)
D. Takaful Act 1984

20. In general motor takaful, a ‘Third Party’ refers to

A. the beneficiary of the certificate who is someone other than the parties involved in the
contract
B. any beneficiary including the parties involved in the contract
C. any person or persons who have any dealing with the takaful operator
D. none of the above is TRUE

21. Select the INCORRECT STATEMENTS with regard to the basic certificate required by law for
motor takaful

I. The basic certificate required by law does not provide any benefit to the Participant.
II. The basic covers the participant's legal liability for death/disability of third-party loss or
damage to third-party property
III. The basic cover is only applicable to situations selected by the participant
IV. The basic cover is provided at no cost when a comprehensive cover is purchased

A. I & II
B. I, II &III
C. II, III & IV
D. All of the above are FALSE

22. Motor Takaful provides the participants coverage against

I. loss or damage to their vehicle due to accidental fire, theft or accident

II. loss or damage of vehicle during war and natural disasters
III. bodily injury or death of a third party as well as loss or damage of a third party’s property
IV. loss o or damage to the vehicle for whatsoever reasons

A. I & III
B. I, II &III
C. II, III & IV
D. All of the above are FALSE

23. For the purpose of rating, the Motor Tariff will classify private vehicles. Select the STATEMENT
below that is TRUE
A. These include three-wheeled cars.
B. These include vehicles used for private and commercial purposes
C. It does not cover station-wagons used for social, domestic and pleasure purposes
D. It includes private vehicles used for hire or reward, racing, reliability trial, etc.
24. Vans, taxis, pick-ups, and trucks are categorised under _________.
A. Private cars
B. Commercial vehicles
C. Motorcycles
D. Special types

25. The Motor Tariff covers motorcycles and these are subdivided into the following classes.
A. Private motorcycles only
B. Private and Commercial motorcycles only
C. Private, Commercial motorcycles and motorcycles (with or without side-cars) used for hire
only
D. Private, Commercial motorcycles, motorcycles (with or without side-cars) used for hire only
and motorcycles trade

26. There are types of cover available for each category of motor vehicles:

I. Act cover
II. Compulsory cover
III. Third party cover
IV. Third party, fire and theft

A. I only
B. I & II
C. I, II, III
D. I, III, IV

27. This is the least form of cover required under the Road Transport Act 1987.
A. Minimum coverage plan
B. Act Cover
C. Compulsory cover
D. Force cover

28. The compulsory Act cover will cover ____. Select the COMBINATION that is TRUE.

I. The participants’ legal liability for death or bodily injury to third parties
II. The legal liability above is caused by and arising out of the use of the participant’s motor
vehicle on a road.
III. Cover reasonable expenses incurred for hospital treatment for injured persons
IV. The liability to passengers in the vehicle

A. I & III
B. I, II &III
C. II, III & IV
D. All of the above are FALSE
29. The Third-Party Cover provides the following benefits to the participant. Select the
COMBINATION that is TRUE.

I. Legal Liability For Loss Or Damage To Third Party Property Caused By Or Arising Out Of The
Use Of The Motor Vehicle
II. Legal Liability Under This Cover Includes Contractual Liability
III. It Does Not Cover Loss Or Damage To The Vehicle Of The Participant.
IV. Legal Liability Under This Cover Includes Tortious Liability

A. I & III
B. I, II &III
C. I, III & IV
D. All of the above are TRUE

30. The ________ Cover will cover accidental loss of or damage to the vehicle as a result of fire or
theft.
A. Act Only
B. Third party
C. Third party, fire, and theft
D. Compulsory/Comprehensive

31. “The widest and all-encompassing form of cover”. This statement is referring to
A. Act Cover
B. Third Party Cover
C. Third Part, Fire, and Theft Cover
D. Comprehensive Cover

32. If no claim is made or arises from a participant’s certificate, and provided the Subject Matter
Covered is covered for a continuous period of twelve (12) months in each of the following
instances, the participant is entitled to a _________ upon renewal of the certificate.
A. Bonus
B. Rating
C. Discount NCD
D. Claim

33. Select the WRONG statement about No-Claim-Discount (NCD).

A. After 1st year, if no claim is made or arises from a participant’s certificate, the participant is
entitled to get 25% of NCD upon renewal of the certificate
B. If an accident occurs involving a third party, the participant will lose his NCD entitlement
C. The NCD is not transferable if there is a change to another Takaful Operator or to another
vehicle that belongs to the participant
D. The incentive is attached to the person rather than the vehicle

34. ___________ is the amount of loss the participant has to bear before the Takaful Operator will
pay for the balance of your claim.
A. Rating
B. NCD
C. Claim
D. Excess
35. The main types of takaful under Fire Takaful include
I. Houseowner’s Takaful
II. Householder’s Takaful
III. Business Interruption Takaful
IV. Industrial All Risk Takaful.

A. I & II
B. I, II &III
C. II, III & IV
D. All of the above are TRUE

36. Under the Basic Fire Takaful plan, the loss of or damage to buildings and contents will BE
COVERED if caused by the following perils.

I. Fire
II. Lightning
III. Explosion of gas used for illuminating and domestic purposes only.
IV. Localized riots only

A. I & II
B. I, II &III
C. II, III & IV
D. All of the above are TRUE

37. Basic Fire Takaful is normally rated and underwritten based on the following criteria. SELECT
the combination below that is CORRECT:

I. Construction of building
II. Type of building
III. Value of building
IV. Cost of rebuilding (including value of land).

A. I & II
B. I, II & IV
C. I, II & III
D. All of the above are TRUE

38. All of the STATEMENTS BELOW about the rating and underwriting considerations for Basic Fire
Takaful are CORRECT EXCEPT
A. Use of building
B. Location of building
C. Additional risks covered.
D. Cost of rebuilding (including value of land).
39. The Exclusions under a Basic Fire Takaful will include the following. Select the CORRECT
COMBINATION below.

I. Loss or damage caused directly or indirectly by an earthquake or other convulsion of

nature
II. Loss or damage caused proximately by the burning of property by order of any public
authority
III. Specified losses by policy condition for e.g., loss by theft during or after occurrence of fire
IV. Losses covered under the basic plan.

A. I & II
B. I, II & IV
C. I, II & III
D. All of the above are TRUE

40. ____________ covers residential building against loss or damage caused by perils such as fire,
flood or earthquake, etc.
A. Houseowner’s Takaful
B. Householder’s Takaful
C. Groupowner’s Takaful
D. Proxyowner’s Takaful

41. The Houseowner’s takaful will cover the following ______.

I. Loss or damage to the home building by the covered perils.

II. Loss of rent (not exceeding 10% of the total sum insured) in the event of the building being
damaged and is rendered uninhabitable
III. Loss or damage to contents of the home by the covered perils.
IV. Loss of rent (not exceeding 20% of the total sum insured) in the event of the building being
damaged and is rendered uninhabitable

A. I & II
B. I, II & IV
C. I, II & III
D. All of the above are TRUE

42. Select the STATEMENT below that is TRUE about the Houseowner’s takaful plan with regard to
public liability.
A. Liability to the public is provided up to a limit of RM10,000 plus legal costs only
B. Liability to the public is provided up to a limit of RM10,000 plus unlimited legal costs.
C. Liability to the public is unlimited for damage and legal costs.
D. Liability to the public is provided up to a limit of RM10,000 plus legal costs subject to the
consent of the Takaful Operator

43. The Houseowners Takaful cover can be extended to include the following perils at additional
cost. EXCEPT:
A. Riot, strike and malicious damage
B. Subsidence and landslip
C. Plate glass exceeding RM500 per piece
D. Contamination by radioactivity
44. _____ cover the contents of the house and also provide coverage for fatal injury to the
participant.
A. Houseowner’s Takaful
B. Householder’s Takaful
C. Content coverage Takaful
D. All Inclusive Takaful

45. The Householders Takaful cover can be extended to include the following perils at additional
cost. Select the combination below that is CORRECT.

I. full theft (without the limitation of being accompanied by actual forcible and violent breaking
into or out of the building).
II. full theft if NOT accompanied by actual forcible and violent breaking into or out of the
building).
III. riot, strike and malicious damage.
IV. plate glass exceeding RM500 per piece.

A. I & II
B. I, II & IV
C. I, III & IV
D. All of the above are TRUE

46. Business Interruption Takaful also known as

A. Business Disruption
B. Participant’s Loss
C. Consequential Loss
D. Business Break

47. An __________ certificate is an "all risks" form of Takaful which cover not only all the “named
perils” of fire Takaful but also extend to cover “accidental damage” which could not be covered
under fire Takaful, subject only to specific exclusions of the certificate.
A. Houseowner
B. Householder
C. Industrial All Risk (IAR)
D. Business Interruption

48. The subject matter of a Marine Takaful will include ALL of the following EXCEPT____.
A. Pilferage
B. Hull and machinery.
C. Legal liability arising out of collision
D. Cargo and freight.
49. Marine takaful will cover loss or damage to property and interest by maritime perils which
include

I. Perils of the sea.

II. Heavy weather.
III. Stranding or collision.
IV. Pilferage.

A. I & II
B. I, II &III
C. II, III & IV
D. All of the above are TRUE

50. One of the following CORRECTLY matches the certificate with the subject matter covered.

# Certificate Type Subject matter

A Marine Hull Vessel , machinery & limited collision liability
B Marine Cargo Vessel under Construction/Repair
C Marine Freight Goods carried on the vessel
D Marine Building Freight (Money/Fee charged for carriage of goods by the
vessel)

51. Select the STAEMENTS that are TRUE of Marine Hull Takaful

I. It provides cover against loss or damage to the hull only

II. It provides cover against loss or damage to the ship machinery only
III. It provides cover against loss or damage to the hull and machinery
IV. It provides cover against loss of vessel and the repairs to the vessel.

A. III
B. I &II
C. III & IV
D. All of the above are TRUE

52. Under the Marine Hull Takaful the scope of the takaful cover is categorized as
A. The zone clauses
B. The nautical clauses
C. The time clauses
D. The latitude clauses

53. The risk of loss of or damage to the goods is transferred to the buyer when the goods pass the
ship’s rail describes the terms of sale and coverage under
A. “Ex Quay”
B. “Free on Board”
C. “Cost & Freight”
D. “Cost, Insurance and Freight”
54. The seller pay the costs and freight necessary to bring the goods to the named destination, but
the risk of loss or damage to the goods is transferred to the buyer when the goods pass the
ship’s rail in the port of shipment describes
A. “Ex Quay”
B. “Free on Board”
C. “Cost & Freight”
D. “Cost, Insurance and Freight”

55. When using ________ , the seller fulfils his obligation to deliver the goods to the buyer when it
hands the goods over to the carrier and not when the goods reach the place or final
destination.
A. “Ex Quay”
B. “Free on Board”
C. “Cost & Freight”
D. “Cost, Insurance and Freight”

56. Under the Cost, Insurance and Freight arrangement, the ________. SELECT the STATEMENTS
below that are TRUE.

I. The seller delivers the goods on board of the vessel.

II. The risk of loss/damage to the good passes to the buyer when the goods are on board the
vessel
III. The seller must pay the cost and freight necessary to bring the goods to the named port of
destination
IV. All costs are from the buyer to the buyers warehouse are borne by the seller.

A. I & II
B. I, II &III
C. II, III & IV
D. All of the above are TRUE

57. The seller makes the goods available to the buyer on the wharf at the destination named in the
sales contract describes the ONE of the following arrangements.
A. “Ex Quay”
B. “Free on Board”
C. “Cost & Freight”
D. “Cost, Insurance and Freight”

58. Aviation Takaful is a comprehensive certificate that cover

I. The aircraft (the hull)

II. Public Liability
III. Passenger Liability
IV. Loss of License

A. I & II
B. II & III
C. II, III, & IV
D. I, II, III, IV
59. The type of Engineering Takaful certificate that can be classified as renewable certificates are
I. Boiler and Pressure Vessel Takaful.
II. Satellite Engineering Breakdown Takaful
III. Machinery Breakdown Takaful.
IV. Electronic Equipment/Computer Takaful

A. I & II
B. I, II &III
C. I, III & IV
D. All of the above are TRUE

60. Under Engineering Takaful, the certificates that can be classified as non-renewable type are
A. Contractors All Risk Takaful and Erection All Risk Takaful.
B. Contractors All Risk Takaful and Machinery Breakdown Takaful.
C. Machinery Breakdown Takaful and Erection All Risk Takaful.
D. Equipment Takaful, Contractors All Risk Takaful and Erection All Risk Takaful.

61. Select the STATEMENT below that BEST describes Machinery breakdown takaful.
A. The certificate covers all damage and interruptions to machinery.
B. The certificate covers unforeseen & sudden damage to the machinery whilst at work or at rest.
C. The certificate covers deliberate damage to the machinery whilst at work or at rest.
D. The certificate covers damage to the machinery caused by third parties.

62. The cover provided under Machinery Breakdown takaful may include damage due to

I. Faulty material, design, construction and erection.

II. Accidents arising from working conditions
III. Excessive electrical pressure.
IV. Failure of insulation.

A. I & II
B. I, II &III
C. I, III & IV
D. All of the above are TRUE

63. The main exclusions under Machinery Breakdown takaful include:

I. Normal wear and tear.

II. Loss or damage arising from
III. Inundation, subsidence, landslide, earthquake and the like.
IV. Nuclear risks.

A. I & II
B. I, II &III
C. I, III & IV
D. All of the above are TRUE
64. The certificate provides cover against physical loss or damage to covered electrical equipment
by any cause other than those specifically excluded by the certificate. It describes ____ takaful.
A. Machinery Electrical Breakdown Takaful
B. Erection and All Electrical Risk Takaful.
C. Electronic Equipment/Computer Takaful
D. Construction and Electronic risks Takaful

65. The main exclusions under the Electronic Equipment/Computer Takaful are _____. ONE of the
following OPTIOS is FALSE.
A. Deductibles.
B. Loss by theft.
C. Nuclear risks
D. Atmospheric conditions

66. _______ provides cover against loss of or damage to the contents in a business following theft
involving entry to or exit from the covered premises by forcible and violent means.
A. Theft and Destruction Takaful
B. Burglary Takaful
C. Burglary and Collateral Damage Takaful
D. Theft and Collateral Damage Takaful

67. The _____ is normally issued to provide cover for valuables such as jewellery, watches,
cameras, paintings and work of art.
A. All Risks Takaful
B. Theft and Destruction Takaful
C. Burglary Takaful
D. Burglary and Collateral Damage Takaful

68. This certificate indemnifies the participant for loss of or damage to goods by fire, accident, theft
or pilferage while being loaded on, carried by, or unloaded from the motor vehicles and their
trailers, and while temporarily garaged during transit anywhere in Malaysia. It describes ____.
A. Goods in Transit Takaful
B. Burglary Takaful
C. Goods Loading Takaful
D. None of the above is TRUE.

69. Workmen’s Compensation Takaful will

I. Indemnifies the employer (participant) to pay compensation under workmen's

compensation ordinance to all employees who are 'workmen'
II. It covers death or injuries due to accidents or occupational diseases arising out of and in
the course of employment.
III. Hospitalization and medical expenses.
IV. Not cover repatriation charges

A. I & II
B. I, II & III
C. II, III & IV
D. All of the above are TRUE
70. The cover under Workmen’s Compensation Takaful will include ALL of the following EXCEPT
A. Hospitalization and medical expenses.
B. Occupational diseases, e.g. Lung cancer caused by asbestos.
C. Compensation for all off-days at work
D. Personal accident (off - work hours)

71. The EXCLUSIONS under the Workmen’s Compensation Takaful will include the following.
SELECT the COMBINATION below THAT IS TRUE.

I. Any employee who is not a “workman” within the law

II. War and kindred risks
III. Any contractual liability
IV. Any liability caused by or contributed to by nuclear weapon materials, ionizing,
radiations or radioactivity contamination

A. I & II
B. I, II & III
C. II, III & IV
D. All of the above are TRUE

72. The Foreign Workers’ Compensation Scheme (FWCS) will cover the following EXCEPT
A. Death, permanent total or partial disablement resulting from any injury arising out of and
in the course of employment.
B. Hospitalization and medical expenses.
C. Repatriation expenses in Malaysia only
D. Personal accident (off - work hours)

73. The Public Liability certificate is designed to

I. Protect a business firm in respect of its legal liability to pay compensation for death or injury
to third parties
II. Protect a business firm in respect of its legal liability to pay compensation for damage to
property of third parties
III. Pay compensation caused by or through negligence of the firm or its employees or by defects
in its premises.
IV. The cover does not include legal costs incurred by the firm with regard to public liability
disputes.

A. I & II
B. I, II & III
C. II, III & IV
D. All of the above are TRUE
74. A Directors’ and Officers’ liability certificate provides cover for:

I. An indemnity to the company in respect of the costs it incurs in indemnifying a director

against the successful defence of a claim.
II. An indemnity to the director in circumstances where this cannot be obtained from the
company because the defence has not been successful.
III. All liability arising from breaches by the company or director
IV. Only for legal costs incurred from breaches by the company or director

A. I & II
B. I, II & III
C. II, III & IV
D. All of the above are TRUE

75. ___________ is an annual plan that provides compensation in the event of death, disablement
or injuries arising solely from an accidental cause.
A. Annual Compensation Takaful
B. Disablement Takaful
C. All Cover Takaful
D. Personal Accident Takaful

76. Participation in a Personal Accident Takaful can be for ____. Select the MOST APPROPRIATE
answer
A. An individual only
B. An individual or group plan for the family
C. An individual or group plan for the family company or any registered groups.
D. None of the above is true

77. The Money Takaful certificate provides cover for loss of money against all risks _____
A. While in transit between the insured premises and the bank.
B. While in the possession of the employees at the office and home
C. While in possession of the takaful agent (who sold the plan) at the office and home.
D. None of the above is true

78. The Money Takaful certificate is not liable for any loss arising from

I. Dishonesty of an employee.
II. Confiscation, nationalization, requisition or wilful destruction by any government
authorities.
III. Shortages due to error and omission.
IV. Depreciation or appreciation in value.

A. I & II
B. I, II & III
C. II, III & IV
D. All of the above are TRUE
79. A ______________ provides a form of guarantee to a participant for direct financial loss in the
event of a dishonest act of its employee (within the limitations prescribed by the contract).
A. Theft Takaful
B. Fidelity Guarantee Takaful
C. Money Takaful
D. Burglary Takaful

80. There are three (3) types of fidelity certificate issued by a Takaful Operator. Select the OPTION
below that is FALSE
A. Individual Certificate
B. Collective Certificate
C. Blanket Certificate
D. Comprehensive Certificate

81. Underwriting can simply be defined as

A. A process of evaluation or assessment of a proposal to participate in takaful.
B. A process of evaluation or assessment of selecting a takaful operator.
C. A process of evaluation or assessment of selecting an investment linked fund.
D. None of the above is true.

82. __________ occurs when an applicant who knows that he has a very high risk of loss submits a
proposal for Takaful. Select the MOST APPROPRIATE answer.
A. Selection
B. Proposition
C. Anti-selection
D. Offer

83. A Takaful Operator must ensure that sufficient funds are available to pay claims as they arise.
For this the Takaful Operator must ____.

I. Manage against Anti-Selection

II. Charge a Contribution Commensurate with the Risk Shared by the Participants
III. Develop a List or Table of Acceptable Risks to Ensure the Risk Fund Can Be Sustained
IV. Arrange a Retakaful Program Aligned to the Risk and Claims Profiles

A. I & II
B. I, II & III
C. II, III & IV
D. All of the above are TRUE.

84. If additional information is required by the Underwriter to evaluate the risk, the Underwriter
may take one or more of the following actions EXCEPT

A. Request for a survey report on the risk

B. Make direct enquiries
C. Request for an independent survey report
D. Request for an independent report from the police.
85. An Underwrite may accept a sub-standard risk subject to the following options

I. Franchise
II. Excess
III. Warranties
IV. Exclusions

A. I & II
B. I, II & III
C. II, III & IV
D. All of the above are TRUE.

86. For large and complex risk, a Takaful Operator may not be able to assume the whole risk alone
and therefore may have to arrange for ____.
A. Retakaful
B. Mytakaful
C. Shared Takaful
D. Collateral Takaful

87. Under the Motor Tariff, the basic rating factors generally considered will include the following
EXCEPT the
A. Scope of insurance cover required
B. Cubic capacity of the vehicle
C. Estimated value of the vehicle
D. Weight of the vehicle

88. The main aim of the proposal form is to

A. Commit the takaful operator to issue the certificate applied for.
B. Ensure the agent earns his/her commission.
C. Gather information required to assess a risk being proposed
D. None of the above is true.

89. A proposal form generally contains the following

I. A statement pertaining to the Anti-Money Laundering Act 2001

II. Takaful-Related Questions
III. Questions of a General Nature
IV. Questions related to the work history of the employees

A. I & II
B. I, II &III
C. I, II &IV
D. All of the above are TRUE.

90. The Takaful Operator will ask about the proposer’s current and previous takaful history in the
proposal form. The reason for this is that
A. The history can provide useful information on moral and physical hazard of the Proposer.
B. That the Takaful Operator wants to check as to the proposer’s integrity with other
Operators
C. The Takaful Operator wants to file the history Bank Negara Malaysia
D. The Takaful Operator has to file the details with the Malaysian Takaful Association
91. This clause in the takaful certificate introduces the parties in the contract.
A. The Heading
B. The Introduction
C. Preamble or Recital Clause
D. The Operative Clause

92. Select the STATEMENTS below that are TRUE with regard to Endorsements

I. Endorsements form part of the certificate.

II. Both the endorsements and certificate constitute the evidence of contract.
III. Endorsements must be made before the certificate is issued
IV. Endorsements are used to modify the terms and make alterations to an existing certificate

A. I & II
B. I, II & III
C. I, II & IV
D. All of the above are TRUE.

93. Takaful Benefits under the IFSA, 2013 are defined as

A. “…a demand for payment of an amount due under a Takaful certificate…”
B. “…any liability, whether pecuniary or not, which is payable under a Takaful certificate...”
C. “…a demand for contributions to be made under a Takaful certificate…”
D. “…any benefit, whether pecuniary or not, which is payable under a Takaful certificate...”

94. Once intimation of loss or accident is received by the Takaful Operator, a preliminary check is
made and this involves checking whether

I. The certificate in force.

II. The contribution has been paid.
III. The loss or liability is caused by a covered peril.
IV. The subject matter is the same as that covered under the certificate.

A. I & II
B. I, II & III
C. II, III & IV
D. All of the above are TRUE.

95. The purpose of a discharge form in claim settlement is

A. To avoid the possibility of any further claims being made in relation to the same loss, either
against the takaful operator or the participant.
B. To give up all the rights to the claim
C. To give up all the rights to the claim to the beneficiary
D. To give up all the rights to the claim to the nominee

96. When a claim official tries to settle the dispute through discussion with the claimant, this
dispute settlement method is called
A. Litigation
B. Rationalization
C. Negotiation
D. Arbitration
97. A participant covered his car under Motor Takaful for RM60,000 when the market value is
actually RM80,000. The car was damaged in an accident. If the repair costs is RM20,000, the
claim amount payable to the claimant is
A. RM5,000
B. RM8,000
C. C.RM10,000
D. RM15,000

98. The Inter-Takaful Operator’s Agreement (ITA) made amongst all members of the Malaysian
Takaful Association (MTA) has the following objectives. Select the COMBINATION below that is
TRUE.

I. Promoting and protecting the interests of the takaful industry

II. Regulating and controlling the conduct and activities of every person transacting takaful
business.
III. Monitoring the tariffs, commissions and remuneration applicable to takaful business
IV. Ensuring only the best quality agents are registered with the association

A. I & II
B. I. II & III
C. II, III & IV
D. all of the above are TRUE

99. A corporate agency in general takaful shall be represented by a Corporate Nominee subject to
approval and fulfilment of the following qualifying criteria

V. The corporate nominee is the principal officer of the corporate agency or officer
as approved
VI. The corporate nominee is engaged full time in the principal office of the corporate
agency
VII. The corporate nominee is a person of good character and high business integrity
VIII. The corporate nominee is a person who shall do all the selling and negotiations
with clients all the time.

A. I & II
B. I. II & III
C. II, III & IV
D. All of the above are TRUE

100. The cash before cover is covered under ______. Select the MOST APPROPRIATE answer.

A. Section 96 of the IFSA 2013

B. Section 101 of the IFSA 2013
C. Section 96 of the IFSA 2013 and Takaful (Assumption of Risk and Collection of Contribution)
Regulation 1985
D. Section 101 of the IFSA 2013 and Takaful (Assumption of Risk and Collection of
Contribution) Regulation 1985
 SET A - ANSWER

1 C 26 D 51 A 76 C
2 A 27 B 52 C 77 A
3 B 28 B 53 B 78 B
4 D 29 D 54 C 79 B
5 D 30 C 55 D 80 D
6 A 31 D 56 D 81 A
7 D 32 C 57 A 82 C
8 D 33 C 58 D 83 D
9 C 34 D 59 C 84 D
10 B 35 D 60 A 85 D
11 A 36 B 61 B 86 A
12 D 37 C 62 D 87 D
13 C 38 D 63 D 88 C
14 B 39 C 64 C 89 B
15 C 40 A 65 C 90 A
16 A 41 C 66 B 91 C
17 D 42 D 67 A 92 C
18 D 43 D 68 A 93 D
19 C 44 B 69 B 94 D
20 A 45 C 70 C 95 A
21 D 46 C 71 D 96 C
22 A 47 C 72 C 97 D
23 B 48 A 73 D 98 B
24 B 49 D 74 A 99 B
25 B 50 A 75 D 100 C