III IC-02 study guide
III IC-02 · Work through your exam, one topic at a time.
IC 02, titled Practice of Life Insurance, is one of the professional subjects offered under the Insurance Institute of India (III) examinations. The Institute's own site lists it as "IC 02 - Practice of Life Insurance" and publishes a dedicated addendum for it under Study Material Addendum, which tells you the subject is live and that the printed or e-book study text is periodically updated. The subject sits in the life insurance family of III papers, so it is aimed at people who work in or around life insurance operations: agents and advisors moving beyond the basic IC 38 level, insurer staff in underwriting, new business, policy servicing and claims, and candidates building credits toward III's professional qualifications. It is not an entry-level agent licensing test; it assumes you already understand basic insurance principles and want the practical, day-to-day side of life insurance business. Expect the paper to test how life insurance actually works end to end rather than definitions alone: how a proposal becomes a policy, how premiums and risk classification are handled, what policyholders can do with a policy during its term, and how claims and payouts are settled. III does not publish a separate public landing page for IC 02, so the reliable route is the Examinations and Study Material sections of the Institute's website, where the syllabus, timetable and addendum live. Topics on this exam: Practice of Life Insurance (content domains not enumerated in source). The III IC-02 study guide has 1 section and about 395 words.
01Practice of Life Insurance
IC-02 examines the operational life of an Indian life insurance policy: proposal and underwriting, the policy document and its clauses, premium and reserves, nomination and assignment, servicing (loans, lapsation, revival, surrender), and claims settlement. Questions test procedure and terminology - which section applies, which document a claimant must produce, and what a given clause actually pays out. A proposal is an offer, not the contract; acceptance, evidenced by dispatch of the policy document, completes the bargain. Proposal answers are material and form the basis of the contract.
395 words, about 2 minMore study resources for III IC-02
- Practice questionsIn life insurance underwriting, what does the term 'adverse selection' describe?
- FlashcardsInsurable interest. A financial or close-family relationship that justifies insuring another person's life.
- Cheat sheetLife insurance is a contract: the insurer promises to pay a stated benefit on the death of the insured (or at maturity) in exchange for premiums; the policyowner holds the contractual rights, the insured is the life measured, and the beneficiary receives proceeds.
- Key termsLife insurance. A contract in which an insurer pays a stated sum to a named beneficiary when the insured person dies, in exchange for premiums paid by the policyholder.
- Study planMap the full IC-02 syllabus into a one-page outline that lists every named topic under Practice of Life Insurance and flags the three heaviest clusters by estimated exam weight.
- Common mistakesCandidates conflate the rule for life insurance (interest needed only when the contract is formed; consent of the insured also matters) with the rule for property insurance (interest needed at time of loss).
- Exam-day guideBring the original, unexpired ID in the exact name used on your registration.