New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    In case of ambiguity in policy wording, which rule is

    applied?
    A Utmost good faith Correct Answer Incorrect Answer
    B Contra proferentem Correct Answer Incorrect Answer
    C Fraudulent intent rule Correct Answer Incorrect Answer
    D Principle of indemnity Correct Answer Incorrect Answer
    E None of the above Correct Answer Incorrect Answer

    Solution

    Explanation : The rule of "contra proferentem" is applied, which means any ambiguity in the policy wording will be interpreted against the insurer who drafted the policy.

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