How are the initial costs of ULIP policies different from those of traditional policies?

Practice question from IC 38 Mock Test 13 — bank. The correct answer is highlighted below with a full explanation.

Options

A

The initial costs are higher in ULIP policies.
B

The initial costs are lower in ULIP policies.
C

The initial costs are spread throughout the policy term in ULIP policies.
The initial costs are deducted from the initial premiums in ULIP policies

Correct answer

A full explanation for this question is being written. In the meantime, the correct answer is highlighted above.

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