Vidyalelo
Commerce · Q286

Insurance

Graduate and Post Graduate · Commerce · question 286

Q286

In respect of payment of Reversionary Bonuses, which of the following is incorrect?

A.
Payable on maturity
B.
Payable on death
C.
Both A & B
Answer
D.
Payable at any time during the term of a policy

Answer: Option C

Solution

Answer: Option C
Solution:
Reversionary Bonuses are declared regularly and paid at the end (at the time of claim), i.e. on maturity of policy or death of the person. Hence, option (3) is incorrect.