Which of the new guidelines for traditional products is not true?

A. For participating policies, bonus is linked to performance of the fund

B. Bonus once announced becomes a guarantee

C. Such a bonus is called Terminal Bonus

D. For Non-par policies, returns are disclosed at the beginning of the policy

Answer: Option C

Solution(By Examveda Team)

For participating policies, bonus is linked to performance of the fund. Bonus once announced becomes a guarantee. Such a bonus is called Simple Reversionary Bonus.