Question

What happens if the insured person lives beyond the policy term in Term Insurance?

a.

The company pays the face value of the policy to the beneficiary.

b.

The company pays a maturity benefit to the insured person.

c.

No benefit is payable to the insured person.

d.

The company refunds the premiums paid by the insured person.

Posted under IC 89 Management Accounting

Answer: (c).No benefit is payable to the insured person. Explanation:If the insured person lives beyond the policy term in Term Insurance, no benefit is payable to him.

Interact with the Community - Share Your Thoughts

Uncertain About the Answer? Seek Clarification Here.

Understand the Explanation? Include it Here.

Q. What happens if the insured person lives beyond the policy term in Term Insurance?
Add Comment

Similar Questions

Explore Relevant Multiple Choice Questions (MCQs)

Q. What is the key characteristic of Term Insurance?

View solution

Q. What is the primary purpose of whole life insurance?

View solution

Q. How does the premium payment in whole life insurance differ from term insurance?

View solution

Q. What is the purpose of the reserve element (cash value) in whole life insurance?

View solution

Q. What is the characteristic of cash value life insurance?

View solution

Q. What are the two basic forms of whole life insurance?

View solution

Q. What is the primary purpose of an endowment life insurance policy?

View solution

Q. What is a major benefit of an endowment policy over a whole life policy?

View solution

Q. How does an endowment policy differ from a whole life policy in terms of the premium?

View solution

Q. What is the major benefit of a Double Endowment Policy?

View solution

Q. What is the characteristic of a Money Back Policy?

View solution

Q. What characterizes Endowment Plans With Fixed Guaranteed Returns?

View solution

Q. What distinguishes Traditional With Profits Endowments?

View solution

Q. What defines Unit-linked Endowment Plans?

View solution

Q. What characterizes a Full Endowment Plan?

View solution

Q. What is the characteristic of a Pure Endowment policy?

View solution

Q. What distinguishes Group Insurance from individual insurance?

View solution

Q. What is a characteristic of Group (Term) Insurance Scheme?

View solution

Q. What does Group (Term) Insurance Scheme cover?

View solution

Q. How is the premium charged in a Group (Term) Insurance Scheme?

View solution
View All MCQs on IC 89 Management Accounting

Recommended Subjects

Are you eager to expand your knowledge beyond IC 89 Management Accounting? We've handpicked a range of related categories that you might find intriguing.

Click on the categories below to discover a wealth of MCQs and enrich your understanding of various subjects. Happy exploring!

Environmental Biotechnology

Discover the intersection of biology and environmental science with our Environmental...

Mass Transfer

Delve into the science of Mass Transfer with our specialized category. Explore...

Basic Chemical Engineering

Get a solid foundation in Chemical Engineering with our Basic Chemical Engineering...

Civil Engineering

Dive into the world of Civil Engineering with our specialized category. Explore the...

Sociology

Gain insights into human behavior and society with our Sociology category. Explore...

Waste Water Engineering

Navigate the challenges of wastewater treatment and management with our Waste Water...

Railway Engineering

Embark on a journey through the world of railway systems with our Railway Engineering...

Renewable Energy

Explore the sustainable future of energy with our Renewable Energy category. Dive...

Life Sciences

Delve into the diverse world of life sciences with our specialized category. Explore...