Microfinance Operations Quiz

This insurance product is offered because of natural phenomena that often affect the livelihood of MFI clients

This insurance has been in existence among MFIs where clients contribute a certain amount to cover loan balance of deceased members.

The benefit of this insurance is given upon the death of the client who paid a certain premium for a particular period of time, and is directly given to the client’s beneficiaries.

This insurance covers the hospitalization and medicines.

Insure means protection from harm.

• True

• False

Insurance allows individuals to pay for some or all of a financial loss that is linked to unpredictable events or risk.

• True

• False

Risk pooling is a system where each member pays a small amount called amortization.

• True

• False

Insurance lessens the burden of paying a big amount during the time of loss, by making big premium payments.

• True

• False

Insured event is the trigger event that leads to the payment of claims, an example of which is delinquency.

• True

• False

Many products of the MFI clients are sold in flea markets.

• True

• False