[amp_mcq option1=”The assignor in all cases” option2=”The assignee in all cases” option3=”Either the assignor or assignee depending on the type of policy involved” option4=”The assignor and assignee jointly” correct=”option2″]
The correct answer is: B. The assignee in all cases.
An absolute assignment is a transfer of all of the assignor’s rights in a life insurance policy to the assignee. Once an absolute assignment is effected, the assignee becomes the sole titleholder of the policy and the assignor has no further rights or interest in the policy.
The other options are incorrect because:
- Option A is incorrect because the assignor does not retain any rights in the policy after an absolute assignment.
- Option C is incorrect because the type of policy involved does not affect who the titleholder is after an absolute assignment.
- Option D is incorrect because the assignor and assignee do not hold the policy jointly after an absolute assignment. The assignee is the sole titleholder.