Under the Consumer Protection Code, a life assurance company can charge a consumer a fee for an optional extra benefit under a new policy ONLY if the consumer:

• A. Has confirmed that he or she wishes to purchase that optional benefit.
• B. Does not positively object to paying for that benefit.
• C. Is an existing client of the life assurance company.
• D. Is a company or an individual acting in the course of their business.

Answer: (A)

Consent to pay for optional extras is required. Under the Consumer Protection Code, a life assurance company must obtain explicit confirmation from a consumer before charging a fee for an optional extra on a new policy. This means the consumer must actively indicate they want to include the feature and accept the fee, rather than simply not objecting or assuming consent. Being an existing client or the consumer’s business status does not change the need for that clear, affirmative decision, and passive acquiescence would not meet the rule.