Question

What is the penal interest that the insurance company has to give to the claimant in case of delay in payment of claim?

a.

1% above the prevailing bank rate

b.

2% above the prevailing bank rate

c.

4% above the prevailing bank rate

d.

5% above the prevailing bank rate

Answer: (b).2% above the prevailing bank rate Explanation:The penal interest for delayed claim payment is 2% above the prevailing bank rate, ensuring timely settlements.

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Q. What is the penal interest that the insurance company has to give to the claimant in case of delay in payment of claim?

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