411 Banking_and_Insurance_X

Page 1: Introduction

  • Title: Banking and Insurance Standard X Study Material

  • Type: Manuscript

Page 2: Table of Contents

  • UNIT 1 - LAWS RELATING TO NEGOTIABLE INSTRUMENTS

    • 1.1. Introduction to Negotiable Instruments

    • 1.2. Types of Negotiable Instruments

    • 1.3. Parties to the bill of exchange

    • 1.4. Crossing of Cheques

    • 1.5. Summary

    • 1.6. Practice Questions

  • UNIT 2 - LENDING FUNCTIONS OF A BANK

    • 2.1. Types of Advances- Secured & Unsecured

    • 2.2. Loans: Short, Medium and Long Term

    • 2.3. Methods of Granting Advances

    • 2.4. Summary

    • 2.5. Practice Questions

  • UNIT 3 - UTILITY SERVICES OF A BANK

    • 3.1. Remittance through Bank Drafts

    • 3.2. E Banking

    • 3.3. Internet Banking

    • 3.4. Safe Deposit Lockers

    • 3.5. Summary

    • 3.6. Practice Questions

  • UNIT 4 - LIFE INSURANCE PRODUCT

    • 4.1. Life Insurance - Meaning

    • 4.2. Features of Life Insurance

    • 4.3. Advantages of Life Insurance

    • 4.4. Importance of Life Insurance Policies

    • 4.5. Types of Life Insurance Policies

    • 4.6. Procedure of taking Life Insurance Policies

    • 4.7. Nomination and Assignment of Life Insurance Policies

  • UNIT 5 - GENERAL INSURANCE

    • 5.1. General Insurance - Meaning

    • 5.2. Importance of General Insurance

    • 5.3. Types of General Insurance Policies

    • 5.4. Fire Insurance

    • 5.5. Marine Insurance

    • 5.6. Motor Vehicle Insurance

    • 5.7. Health Insurance

    • 5.8. Theft & Burglary Insurance

    • 5.9. Procedure for taking Fire Insurance Policy

    • 5.10. Procedure for taking Marine Insurance Policy

Page 3: Unit 1 - Introduction to Negotiable Instruments

1.1 Introduction to Negotiable Instruments

  • Meaning: Instruments that are transferable by delivery.

  • Key Instruments: Cheques, Promissory Notes, Bills of Exchange.

  • Regulation: Governed by the Negotiable Instruments Act of 1881.

1.2 Types of Negotiable Instruments

  • Bearers and Order Instruments

    • Bearer: Claim by possession.

    • Order: Claim by written endorsement.

  • Inland and Foreign Instruments

    • Inland: Made in India, payable in India.

    • Foreign: Created outside of India or payable to a resident outside India.

  • Demand and Time Instruments

    • Demand: Payable on demand.

    • Time: Payable after a specified period.

Page 4: Parties to Negotiable Instruments

Parties to Bills of Exchange

  • Drawer: Creator of the bill.

  • Drawee: Person ordered to pay.

  • Payee: Person entitled to receive payment.

Crossing of Cheques

  • Types: General and Special Crossing.

  • Crossing Mechanism: Ensures payment only through banks.

Page 5: Life Insurance Products

Life Insurance Basics

  • Purpose: Financial security for contingencies related to human life.

  • Features: Contract-based assurance contingent on death or disablement.

  • Premiums: Regular payments for coverage.

Types of Life Insurance Policies

  • Term Insurance: Covers death within a specified term.

  • Whole Life Insurance: Continuous coverage until death.

  • Endowment Plans: Returns sum assured at maturity.

  • Unit Linked Plans: Combine insurance and investments.

Page 6: Importance of Life Insurance

  • Financial Security: Protects dependents from financial loss.

  • Tax Benefits: Premiums eligible for tax exemptions.

Page 7: Fire Insurance Overview

Fire Insurance Purpose and Coverage

  • Definition: Indemnifies loss from destruction/damage due to fire.

  • Importance: Provides security for homes and properties.

Types of Fire Insurance Policies

  • Specific Policy: Insures for a fixed amount.

  • Valued Policy: Pays a predetermined amount regardless of actual loss.

Page 8: Marine Insurance Basics

Definition

  • Scope: Protects against risks in maritime transport.

Types of Policies

  • Hull Insurance: Covers ships.

  • Cargo Insurance: Covers goods in transit.

Page 9: Health and Miscellaneous Insurance

Health Insurance

  • Covers: Medical expenses.

Personal Accident Insurance

  • Benefits: Compensation for injuries from accidents.

Page 10: Conclusion and Recap

  • General Insurance: Includewide-ranging policies for protection against various risks.

  • Life Insurance: Offer savings and financial security.

Summary of Key Terms

  • Negotiable Instruments: Bills of Exchange, Cheques, Promissory Notes.

  • Insurance Types: Life, Fire, Marine, Health.

Practice Questions (Sample)

  1. Define Negotiable Instruments.

  2. What are the types of Life Insurance Policies?

  3. Explain the importance of Fire Insurance.