Question

ThisWhich of the following is not correct for group insurance *

1.Group insurance is offered to homogenous group having a similarity

2.Group insurance is costlier as compared to individual policies

3.Group insurance saves a lot of Administrative work

4.All the people covered in the group have similar kind of risk​​

Answer 1

Answer:

4. All the people covered in the group have similar kind of risk

Answer 2

​​ Option 2 is the correct option.

Explanation:

• Option 2 i.e. Group insurance is costlier as compared to individual policies is the correct option because group insurance plans cost less than the individual policies. They usually cost less because policy package customization according to an individual's personal needs isn't made available in group policies.
• Rest all the options are incorrect because they are correct about the group insurance. Group insurance is offered to homogenous group having a similarity, saves a lot of administrative work, and all the people covered in the group have similar kind of risk​​.