Question

What is the primary purpose of Critical Illness Assurance?

a.

To provide regular income to the policyholder

b.

To cover the cost of minor medical procedures

c.

To make a lump sum cash payment upon diagnosis of critical illnesses

d.

To offer financial protection against non-critical illnesses

Posted under IC 92 Actuarial Aspects of Product Development

Answer: (c).To make a lump sum cash payment upon diagnosis of critical illnesses Explanation:Critical Illness Assurance is primarily designed to make a lump sum cash payment upon the diagnosis of critical illnesses listed in the insurance policy.

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