Financial Management Ch 12

The amount received after giving up a whole life type of insurance policy is called

Cash value

Insurance companies look at which of the following guidelines for preferred rates under guidelines for preferred rates

Cholesterol Levels Family History Weight

Life insurance that provides policy dividends is called

Participating

What characteristics should you consider in an insurance company?

Service, financial stability,

If suicide occurs during the first ____ years the policy is in force, only the _____ paid are paid to beneficiary

Two, Premiums

When determining your need for life insurance, you should consider your

Type of household Stage in the life cycle

Nonparticipating policies do not provide policy ________

Dividends

Participating policies refund part of the policy premium called a policy _____

Dividends

Insurance protection is available from the following sources

Employers Labor unions Professional organizations

An annuity is a contract that provides regular _____ for as long as a person lives

Income

A document attached to a policy that ____its coverage is called a rider

Modifies

Cash-value policies are good for people who

Must be forced to save Plan to keep the policy long term

Universal life is a whole life policy that combines ______ life insurance and ______ elements.

Term, Investment

A whole life policy that combines term insurance and investment element is called

Universal life

A life insurance agent who has passes a series of college-level examination on insurance and related subjects is called?

chartered life underwriter

An incontestability clause states that the insurer cannot dispute the ______ o fa policy after a specific _______ of time

validity, period