Vidyalelo
Commerce · Q929

Insurance

Graduate and Post Graduate · Commerce · question 929

Q929

Surrender value expressed as a percentage of premiums paid is called –

A.
Guaranteed surrender value
Answer
B.
Special surrender value
C.
Special revival value
D.
Minimum surrender value

Answer: Option A

Solution

Answer: Option A
Solution:
Surrender value expressed as a percentage of premiums paid is called Guaranteed surrender value. The guaranteed surrender value is the amount guaranteed to the policy holder in case of voluntary termination of the policy by the policy holder before maturity.