Question

the surrender value of a fire insurance policy is a)amount of policy b)50% of the amount of policy c)amount premium d)zero​

Answer 1

Explanation:

Surrender value is the amount payable to the policyholder should he decide to discontinue the policy and encash it. It is payable only after three full years' premiums have been paid to the insurance company. Moreover, if it is a participating policy, the bonus gets attached to it.

Answer 2

Among the given options, the answer would be (c) amount premium.

• The surrender value of a fire insurance policy is usually calculated as a percentage of the total premiums paid on the policy. It is the amount of money that the policyholder will receive if they decide to surrender or cancel the policy before its maturity date.
• The exact percentage of the surrender value can vary depending on the terms and conditions of the policy and the insurance company. In some cases, the surrender value may be as high as 80-90% of the total premiums paid, while in other cases it may be lower, such as 50% or less.
• Fire insurance policies are designed to protect policyholders against losses due to damage or destruction caused by fire. These policies require the policyholder to pay regular premiums to the insurance company in exchange for coverage.
• If the policyholder decides to cancel or surrender the policy before its maturity date, they may be eligible to receive a surrender value. The surrender value is usually calculated based on the number of premiums paid by the policyholder up to the time of surrender, less any fees or charges imposed by the insurance company.
• The surrender value is calculated based on the assumption that the policyholder will not receive the full value of the policy if they surrender it early. The insurance company will deduct a certain amount from the premiums paid to cover the costs of issuing the policy, managing the risk of fire, and other administrative expenses.
• The percentage of the surrender value can vary depending on the terms of the policy and the duration of the policy. It is important for policyholders to carefully review their policy documents to understand the terms and conditions related to the surrender value.

For more reference visit,

https://brainly.in/question/22474253?referrer=searchResults

https://brainly.in/question/22474253?referrer=searchResults

#SPJ6