Which one of the following statements is correct?
A. Assignee is free from the assignor’s obligations under the policy
B. A nomination is automatically cancelled when a loan is taken under the policy
C. Both the statements above are correct
D. None of the above
Answer: Option D
Solution(By Examveda Team)
Both the statements are incorrect.Assignee is not free from the assignor’s obligations under the policy. A nomination is not cancelled when a loan is taken under the policy.
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