n NISM Certifications
X NISM Series X
Medium

Which insurance policy does NOT include an investment component?

Practice question from NISM Series XB- Investment Adviser (Level 2) Mock Test 6 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. Term insurance policy

    Correct answer

  2. B

    Money back policy

  3. C

    Endowment policy

  4. D

    Whole life policy

Why this is the answer

Term insurance provides purely risk coverage with no savings or investment element, unlike the other policies which include an investment component.

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