n NISM Certifications
NSM General NISM
Medium

What is the benefit of a no-claim discount in health insurance?

Practice question from IC 38 Mock Test 4 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Increases the sum insured for every claim-free year

  2. Provides a discount on the premium for every claim-free year

    Correct answer

  3. C

    Encourages policyholders to make more claims to avail of the discount

  4. D

    Applicable only to group policies and not individual policies

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

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