A policy taken with critical illness rider benefit is being assigned. Which type of assignment would suit the intended purpose because if the life insured is diagnosed with a critical illness, he only should receive the critical illness rider claim?

The correct answer is: A. Absolute assignment

An absolute assignment is a transfer of ownership of an asset from one party to another. In the context of a life insurance policy, an absolute assignment would transfer ownership of the policy from the insured to the assignee. This means that the assignee would become the owner of the policy and would be entitled to receive any benefits that are payable under the policy.

In the case of a policy with a critical illness rider benefit, an absolute assignment would ensure that the assignee would receive the critical illness rider claim if the insured was diagnosed with a critical illness. This is because the assignee would be the owner of the policy and would be entitled to receive any benefits that are payable under the policy.

The other options are not correct because they do not transfer ownership of the policy to the assignee. A conditional assignment is an assignment that is subject to certain conditions. A loan assignment is an assignment that is used to secure a loan. A collateral assignment is an assignment that is used to secure a debt.

In conclusion, the correct answer is: A. Absolute assignment