Pension Term Assurance policy can: (i) provide life and serious illness cover; (ii) run up to the life assured's 70th birthday; (iii) not be assigned.

Pension Term Assurance policy can: (i) provide life and serious illness cover; (ii) run up to the life assured's 70th birthday; (iii) not be assigned.

• A. (i) only
• B. (ii) and (iii) only
• C. (ii) only
• D. (i), (ii) and (iii)

Answer: (B)

Pension Term Assurance is a life protection product used within a pension arrangement to provide a death benefit, typically to protect the pension fund and dependants. It generally covers life and does not routinely include serious illness (critical illness) cover as part of the policy; that benefit, if needed, would usually come from a separate policy or rider. The policy term is set to end at a fixed age, commonly the life assured’s 70th birthday, rather than continuing indefinitely. Additionally, in many pension structures, such policies are not assignable, meaning the policy cannot be transferred to another party. So the true points are that it runs up to the life assured’s 70th birthday and cannot be assigned, while it does not typically provide serious illness cover. The best choice is the one that states only the second and third conditions are true.

Pension Term Assurance is a life protection product used within a pension arrangement to provide a death benefit, typically to protect the pension fund and dependants. It generally covers life and does not routinely include serious illness (critical illness) cover as part of the policy; that benefit, if needed, would usually come from a separate policy or rider.

The policy term is set to end at a fixed age, commonly the life assured’s 70th birthday, rather than continuing indefinitely. Additionally, in many pension structures, such policies are not assignable, meaning the policy cannot be transferred to another party.

So the true points are that it runs up to the life assured’s 70th birthday and cannot be assigned, while it does not typically provide serious illness cover. The best choice is the one that states only the second and third conditions are true.