Insurance - JSS3 Social studies Past Questions and Answers - page 2
Which insurance type covers medical expenses, ensuring access to healthcare services?
Health Insurance
Auto Insurance
Travel Insurance
In the resolution of failed banks, what does NDIC do to ensure an orderly process?
Conducting bank examinations
Promoting sound banking practices
Taking over failed banks and facilitating resolution
What are the primary functions of insurance?
The primary functions of insurance include risk pooling, risk transfer, financial security, promotion of saving, and encouragement of economic growth.
Name two types of insurance that provide coverage for unexpected events.
Two types of insurance that provide coverage for unexpected events are travel insurance and health insurance.
When was the Nigeria Deposit Insurance Corporation (NDIC) established, and what is its main purpose?
NDIC was established in 1988, with its main purpose being to safeguard depositors' funds and contribute to the stability of the financial system.
Explain the role of NDIC in the resolution of failed banks.
NDIC plays a crucial role in taking over failed banks, protecting depositors, and facilitating the orderly resolution of financial institutions.
How does auto insurance differ from property insurance?
Auto insurance covers damages and liabilities related to vehicles, while property insurance protects against damage or loss of physical assets like homes or cars.
What is the significance of risk pooling in the context of insurance?
Risk pooling involves spreading risks among a large number of policyholders, reducing the financial impact on individual policyholders in case of unexpected events.
Why is deposit insurance provided by NDIC important for the public?
Deposit insurance is important as it safeguards depositors' funds, ensuring they receive a portion of their funds in the event of a bank failure, contributing to financial stability.
Name one role of NDIC that focuses on public awareness.
One role of NDIC that focuses on public awareness is educating the public about the importance of deposit insurance and promoting financial stability.