Question

When are surrender rates applicable in insurance policies?

a.

Only during the initial years of the policy

b.

After the maturity date of the policy

c.

At any specific month during the policy term

d.

For the full year rather than at any specific month

Posted under IC 92 Actuarial Aspects of Product Development

Answer: (d).For the full year rather than at any specific month Explanation:Surrender rates in insurance policies are applicable for the full year rather than at any specific month, especially after the initial years of the policy.

Interact with the Community - Share Your Thoughts

Uncertain About the Answer? Seek Clarification Here.

Understand the Explanation? Include it Here.

Q. When are surrender rates applicable in insurance policies?
Add Comment

Similar Questions

Explore Relevant Multiple Choice Questions (MCQs)

Q. What is the main factor influencing withdrawal rates?

View solution

Q. Which of the following is NOT a factor considered in choosing withdrawal rates?

View solution

Q. How are withdrawal rates assumed for modeling purposes?

View solution

Q. How does an actuary determine the best estimate rate of withdrawal?

View solution

Q. What factors impact the withdrawal rates in insurance?

View solution

Q. When analyzing withdrawal rates, what is considered if the company lacks adequate data?

View solution

Q. What may necessitate adjustments to withdrawal rates?

View solution

Q. What is the aim when determining withdrawal rates?

View solution

Q. How does the type of product influence withdrawal rates?

View solution

Q. How does past experience influence withdrawal rates?

View solution

Q. How does premium frequency affect withdrawal rates?

View solution

Q. How does the general economic situation impact withdrawal rates?

View solution

Q. In the scenario of economic deterioration, how does regular premium term insurance typically fare?

View solution

Q. How does economic deterioration impact single premium savings policies?

View solution

Q. What effect does economic downturn have on regular premium endowment assurance policies?

View solution

Q. How does the initiation of sales impact withdrawal rates?

View solution

Q. Which factor is likely to result in higher withdrawal rates?

View solution

Q. How does the target market affect withdrawal rates?

View solution

Q. What role does financial knowledge play in withdrawal rates?

View solution

Q. How does rural vs. urban residence affect withdrawal rates?

View solution
View All MCQs on IC 92 Actuarial Aspects of Product Development

Recommended Subjects

Are you eager to expand your knowledge beyond IC 92 Actuarial Aspects of Product Development? 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!

Irrigation Engineering

Master the science of Irrigation Engineering with our dedicated category. Explore...

Microbiology

Uncover the fascinating world of microbes with our Microbiology category. Delve into...

Sociology

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

Heat Transfer

Explore the fascinating world of heat transfer with our Heat Transfer category....

Human Resource Management

Explore the dynamic field of Human Resource Management (HRM) with our dedicated...

Railway Engineering

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

Tissue Engineering

Delve into the cutting-edge field of Tissue Engineering with our specialized...

IC22 Life Insurance Underwriting

Prepare for success in the Insurance Institute of India (III) examination with IC22...

IC 92 Actuarial Aspects of Product Development

Sharpen your understanding of actuarial principles in product development with our...