Multiple choice

Terminal bonus is payable at the time of

  1. surrender

  2. maturity/death

  3. loan

  4. None of these

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Terminal bonus is also known as persistency bonus which is paid once, i.e. at the time of maturity of the policy. It is a sort of loyalty bonus given to a policyholder for maintaining the policy till maturity.