Answer-What does ‘Paid Up’ policy means in insurance?

A life insurance policy in which if all the premium payments are complete and the insured is free of all payment obligations, the policy stays intact until insureds death or termination of the policy is called paid-up policy. Description Paid-up policy falls into the category of traditional insurance plans.

Question

What does ‘Paid Up’ policy means in

insurance?

A Policy that requires no further premium payments and continues to provide benefits till maturity.

B Policy that provide a life cover for a specific term

C Policy for which the premium is paid in a single period together

D Policy in which the premium gets reduced over a period of time and benefit increases till maturity

E None of these

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What does ‘Paid Up’ policy means in

Solution