Notice of assignment has to be given to the insurer
Notice of nomination has to be given to the insurer
Both A & B
None of the above
✅ The correct answer is C.
Notice of assignment and notice of nomination have to be given to the insurer. Transfer by the holder of a life insurance policy (the assignor) of the benefits or proceeds of the policy to a lender (the assignee), as a collateral for a loan. In the event of the death of the assignor, the assignee is paid first and the balance (if any) is paid to the policy’s beneficiary.
Notice of assignment and notice of nomination have to be given to the insurer. Transfer by the holder of a life insurance policy (the assignor) of the benefits or proceeds of the policy to a lender (the assignee), as a collateral for a loan. In the event of the death of the assignor, the assignee is paid first and the balance (if any) is paid to the policy’s beneficiary.