This post is intended for those who are preparing for Business analyst interviews for insurance domain in IT industry.

In this post, I have added business analyst interview questions for insurance domain, to be specific, annuity insurance.

Please note that this list is not exhaustive & there are many more questions which can come but these will provide you a direction.

And I suggest you do some more research on these questions and add more information in your answers.

Also, these questions and answers are for Insurance BA interviews and if you are looking to buy an insurance product, please reach out to your adviser for information on these insurance terms.

As far as, interview questions for business analyst position are concerned, they can be divided into four parts;

• Domain specific questions like questions on business operations and processes. Domain are industries like insurance, banking, IT, healthcare, manufacturing, auto, retail or eCommerce.
• Business analysis specific questions like questions on requirement gathering, requirement prioritization, stakeholder manager, writing BRDs etc.
• Software development methodology specific questions. Scrum is the most popular software development methodology in the industry. So, there will be questions on sprints, user stories, product backlog, scrum roles, events etc.
• Generic or personal questions about your background or experience.

If you want to improve your odds of landing business analyst job, you need to also learn business analysis & scrum. You can enroll in the course using this link, click here.

This post is intended to help you with insurance domain's business analyst interview questions. If you are looking for business analyst and scrum related interview questions, click here.

or

Click here for business analyst ATS friendly resume templates 

So, you need to focus on all these elements to improve your chance of landing a job as business analyst.

Having certifications like CCBA, CBAP, CSPO or PSM1 will also help.

These questions are for Insurance business analysts and are specific to insurance BAs.

If you know any thing more about these questions or have additional questions, please leave them in comment.

Business Analyst Interview Question

What is revocable and irrevocable beneficiary?

Revocable beneficiary can be changed without beneficiary’s consent whereas with irrevocable beneficiary, you need beneficiary’s consent before you can change beneficiary.

What is GMIB?

GMIB stands for Guaranteed minimum income benefit.

It is a living benefit available with variable annuity. According to this, once a policy is annuitized , annuitant will receive payments worth a minimum value.

Let’s say annuitant invested $100,000 in a variable annuity plan. At the time of Annuitization, fund value is $500,000. Insurance company will pay minimum $500,000 worth of payments to the annuitant.

This benefit will remain constant irrespective of the market condition.

This gives option to annuitant to either;

• Select fund value for the benefit OR
• Value of initial payment compounded at a predetermined rate.

It is also known as Guaranteed Retirement Income Program (GRIP) & Guaranteed Interest account (GIA).

What is GMWB?

GMWB stands for Guaranteed minimum withdrawal benefit. It guarantees return of principal amount invested in the annuity. This amount could be higher than principal investment amount. Payments are mode over a fixed tenure or throughout the life of annuitant. Annuitization not required.

What is GMAB?

GMAB stands for guarantee minimum accumulation benefit. It guarantees that payments won’t fall below initial investment amount.  But here the difference is that there is an accumulation phase in the policy. Like 10 years. There shouldn’t be any withdrawal in the accumulation period.

What is Qualified plan?

These plans are paid from pre-tax dollars and they are eligible are tax benefits. Traditional IRA, Roth IRA and SEP IRA are examples of qualified plan. In traditional IRA, contributions are eligible for tax benefits but not the withdrawal whereas in Roth IRA, contributions are not eligible for tax benefits, but withdrawals are.

What is Non-qualified plan?

Non-qualified plan is purchased from post-tax dollars and they are not eligible for tax benefits. Non-qualified plan is a contract type. IRAs are non-qualified plans.

What is RMD?

RMD or required minimum distribution is required for traditional IRA, sep IRA and simple IRA policies. Annuitants are required to have a minimum withdrawal from the policy by the age of 70 ½.

What is SEP IRA?

It stands for simplified employee pension plans is meant for small businesses. Only employers can contribute in SEP IRA.

What is SIMPLE IRA?

It is meant for business of any size. Employer and employee both can contribute to Simple IRA. Saving incentive match plan for employee.

What is Roll up rate?

It is annual rate of growth on the policy amount. Insurance company will increase the fund amount by a specified rate of interest.

What is Ratchet?

At contract anniversary, policy amount is reset to include the year’s gain where new amount becomes the base amount for going forward.

What is floor rate?

It is the agreed upon rate at which transaction happens.

What is Ceiling rate?

It is the maximum rate which can be applied throughout the term of the contract.

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