Vidyalelo
Commerce · Q443

Insurance

Graduate and Post Graduate · Commerce · question 443

Q443

Which of the below is not a component of ULIP premiums?

A.
Policy allocation charge
B.
Investment risk premium
C.
Mortality charge
D.
Social security charge
Answer

Answer: Option D

Solution

Answer: Option D
Solution:
Social security charge is not a component of ULIP premiums. Social security contributions are compulsory payments paid to general government that confer entitlement to receive a (contingent) future social benefit.