n NISM Certifications
NSM General NISM
Medium

What happens if a claim is ready for payment but cannot be paid due to missing identification of the payee?

Practice question from IC 38 Mock Test 1 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    The claim amount is forfeited by the insurer

  2. B

    The claim amount is paid to another person

  3. The insurer holds the claim amount for the payee and it earns interest

    Correct answer

  4. D

    The claim amount is refunded to the policyholder

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

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