Terminal bonus is payable at the time of

A. Surrender

B. Maturity/death

C. Loan

D. None of the three

Answer: Option B

Solution(By Examveda Team)

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.