n NISM Certifications
X NISM Series X
Medium

The term of insurance in non-life insurance policies is typically one year, often renewable, covering risks like property damage or liabilities.

Practice question from NISM Series XB- Investment Adviser (Level 2) Mock Test 1 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Decided based on sum insured

  2. B

    Decided by the insured

  3. C

    Flexible

  4. One year

    Correct answer

Why this is the answer

Non-life insurance policies generally have a one-year term, with certain policies like health or motor insurance extending to two years.

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