In respect of Traditional plans, which of the following statement is correct?

A. Policyholder’s bonus depend on periodic valuation of Assets & Liabilities

B. Bonus did not directly reflect the value of assets of the insurer

C. Both A & B

D. None of the above

Answer: Option C

Solution(By Examveda Team)

Both the statements are correct in respect of traditional plans.
Policyholder’s bonus depend on periodic valuation of Assets & Liabilities and Bonus did not directly reflect the value of assets of the insurer.