Multiple choice

Recently, the Bombay High Court has ruled an important judgement regarding insurance policies. From the given options, find the correct statement

  1. Insurance policies cannot be traded

  2. Insurance polices can be traded and assigned

  3. Insurance policies can be discontinued only with the permission of High Court.

  4. Insurance policy cannot be discontinued once you buy them.
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

The Bombay High Court ruled that insurance policies can be traded and assigned, establishing that life insurance policies are transferable assets. This judgment clarified that policyholders have the right to sell, transfer, or assign their insurance policies to other parties, treating them as property.

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