Question

What is a "Lapsed Policy"?

a.

A policy that has been surrendered voluntarily by the policyholder

b.

A policy terminated due to non-payment of the premium

c.

A policy with reduced coverage due to a change in the insured's health

d.

A policy that has reached its maturity date

Answer: (b).A policy terminated due to non-payment of the premium Explanation:A "Lapsed Policy" is a policy that has terminated and is no longer in force due to non-payment of the due premium by the policyholder.

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Q. What is a "Lapsed Policy"?

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