Can Life insurance policy be transferred to another person?

Life Insurance policy is issued to an individual on the basis of his age, occupation, health etc. This cannot be transferred to another person. In every policy it is essential that you nominate one of your family members to be the nominee, who will get the benefit in the event of any mis-happening.
You can use your insurance policy as collateral with a bank in which case you will have to assign your policy to the bank. This is called assignment and ownership of policy will be transferred to the Bank. After the loan is repaid the policy will be assigned back to you.
In some countries you can sell your insurance policy at an Exchange (like stock exchange) before maturity and get better value than the surrender values. These are called TEP or Traded Endowment policy to be given to you by the life insurance company.
In India, you cannot assign your life insurance policy to anyone. However, it is best to check up the rules with Insurance Company.