Which of the following statement is correct in respect of Endowment policy?

A. Shorter the policy term, lesser the investment element

B. Shorter the policy term, larger the investment element

C. Longer the policy term, larger the investment element

D. Term and investment element do not bear any relationship

Answer: Option B

Solution(By Examveda Team)

Shorter the policy term, larger the investment element is correct in respect of Endowment policy.