life insurance PT 2

all of the following could own group life insurance except

**a. A group needing low cost life insurance. b. An employer group. c. An alumni group. d. A debtor group

group life insurance is a single policy written to provide coverage to members of a group. Which of the following statements concerning group life is correct?

100% participation of members is required in non-contributory plans

the type of policy that can be changed from one that does not accumulate cash value to the one that does is a

convertible Term Policy

and the executive bonus plan, who is the owner of the policy, and who pays the premium?

executive is the owner, and the executive pays the premium

both universal life and variable universal life have a

flexible premium

Under a 20-pay whole life policy, in order for the policy to pay the death benefit to a beneficiary, the premiums must be paid

for 20 years or until death, whichever occurs first

annually renewable term policies provide a level death benefit for a premium that

increases annually

an insured buys a 5-year level premium Term Policy with a face amount of $10,000 the policy also contains renewability and inconvertibility options. When the insured renews the policy in 5 years, what will happen to the premium?

it will increase because insured will be 5 years older than when the policy was originally purchased

if a life insurance policy develops cash value faster than a seven pay whole life contract, it becomes a

modified endowment contract

an insured has a level term life insurance policy that is guaranteed renewable and also includes a re-entry provision. The re-entry provision will allow the insured to renew the policy and

pay a lower renewal premium by proving insurability

which of the following is correct concerning the taxation of premiums in a key person life insurance policy?

premiums are not tax-deductible as a business expense

which type of life insurance policy guarantees immediate cash value

single premium

in a group life insurance policy, the employer May select all the following except

the beneficiary

all of the following are true about variable products except

the premiums are invested in the insurer's general account

which of the following employees insured under a group Life Plan would be allowed to convert to individual insurance of the same coverage once a plan is terminated?

those who have been assured under the plan for at least five years