Uses of Life Insurance

Which of these is NOT considered to be a cost connected with an individual's death? Funeral expense Tax liability Business expenses Probate costs

Business expenses

When using the needs approach to life insurance planning, lump sums may be created for all of the following reasons EXCEPT Final expenses Charitable donation Education Employee benefits

Employee benefits

Which of these factors does NOT influence an applicant's need for life insurance? Lifestyle of the applicant Number of dependents Future educational costs of the dependents Self-maintenance expenses

Self-maintenance expenses

Under which plan does an employer give money to an employee to purchase a life insurance policy and allow the employee to choose the beneficiary? Split-dollar Deferred compensation Executive bonus Key employee

Split-dollar

According to the needs approach, an emergency reserve fund's primary purpose is to pay off debt pay for unexpected expenses pay for the cost of life insurance provide an supplemental income source

pay for unexpected expenses