Vidyalelo
Commerce · Q928

Insurance

Graduate and Post Graduate · Commerce · question 928

Q928

Surrender value is a %age of _________

A.
Human life value
B.
Loan value
C.
Paid up value
Answer
D.
Monetary value

Answer: Option C

Solution

Answer: Option C
Solution:
Surrender value is a %age of Paid up value. Surrender value is the amount payable to the policyholder should he decide to discontinue the policy and encash it. It is payable only after three full years' premiums have been paid to the insurance company.