BIA Diploma in Life Insurance study guide
BIA Diploma in Life Insurance · Work through your exam, one topic at a time.
The ABIA diploma is a professional insurance qualification offered under the programme structure of the Bangladesh Insurance Academy (BIA), an academy listed on the Bangladesh National Portal under the Financial Institutions Division, Ministry of Finance. The academy's published programme menu sets out an Associate Stage, a Certificate Stage, a Foreign Education Programme, plus research, seminars, workshops and tailor-made courses. The BIA Diploma in Life Insurance study guide has 4 sections and about 1,323 words.
01Life Insurance Principles and Practice
Life insurance rests on risk pooling: many policyholders contribute premiums so the few who suffer an insured event are compensated. Candidates must understand insurable interest (the policyholder must benefit from the continued life of the insured and lose financially if that life ends), utmost good faith (both parties disclose material facts), indemnity (life cover is generally not indemnity because a life has no measurable monetary value, so a stated sum assured is paid), subrogation (not applicable in life claims), and proximate cause (the dominant cause of loss determines whether it is covered).
334 words, about 2 min02Life Insurance Products and Policy Contracts
Candidates must distinguish term assurance (pure protection, no cash value), whole of life (cover for the whole lifetime, often with cash value), endowment (pays on death or survival to maturity), and annuities (income for life in exchange for a lump sum). Understand unit-linked versus with-profits products, universal life flexibility, and group versus individual cover.
269 words, about 1 min03Underwriting
Underwriting assesses risk and decides whether to accept, decline, or accept on special terms. Candidates must know the application form , medical examination , attending physician's statement , financial underwriting , and attitude to risk factors.
257 words, about 1 min04Actuarial Concepts and Claims
Candidates must understand mortality tables , morbidity , life expectancy , premium calculation (risk, expense, and savings elements), reserves , valuation , and surplus . Grasp the difference between mortality (death) and morbidity (illness), and the effect of interest , expenses , and lapses on pricing.
463 words, about 2 min