MC30 Which of the following is a type of insurance policy that covers a borrower’s outstanding loan amount in case of his/her death or disability?
A. Health insurance
B. Life insurance
C. Motor insurance
D. Home insurance
Answer:B
MC30 Which of the following is a type of insurance policy that covers a borrower’s outstanding loan amount in case of his/her death or disability?
A. Health insurance B. Life insurance C. Motor insurance D. Home insurance
Explanation: Life insurance is a type of insurance policy that covers a borrower’s outstanding loan amount in case of his/her death or disability. It provides financial protection to the borrower’s family and ensures that the outstanding loan amount is repaid to the bank in case of the borrower’s untimely demise.