The correct answer is D. All of the above.
A loan is a privilege available only in some policies. This means that not all insurance policies offer the option of taking out a loan against the policy. If interest on loan is not paid, it becomes part of the loan. This means that if you take out a loan against your insurance policy and do not pay the interest, the interest will be added to the principal amount of the loan. Nomination can be made by the proposer in the proposal itself. This means that the person who takes out the insurance policy can nominate someone to receive the benefits of the policy if they die.
Here are some additional details about each option:
- Loan is a privilege available only in some policies: This means that not all insurance policies offer the option of taking out a loan against the policy. Some policies may have a loan facility, while others may not. It is important to check the terms and conditions of your policy to see if you have this option.
- If interest on loan is not paid, it becomes part of the loan: This means that if you take out a loan against your insurance policy and do not pay the interest, the interest will be added to the principal amount of the loan. This can make the loan more expensive to repay. It is important to make sure that you can afford to repay the loan, including the interest, before you take it out.
- Nomination can be made by the proposer in the proposal itself: This means that the person who takes out the insurance policy can nominate someone to receive the benefits of the policy if they die. The nominee can be a family member, friend, or anyone else that the proposer chooses. It is important to nominate someone who you trust to receive the benefits of your policy if you die.
I hope this information is helpful. Please let me know if you have any other questions.