flash cards: types of insurance policies

अब Quizwiz के साथ अपने होमवर्क और परीक्षाओं को एस करें!

what are the two phases of an annuity

Accumulation and annuitization (or pay-in and pay-out)

The death protection component of a universal life policy is expressed as what type of coverage?

annually renewable term

In variable universal life insurance, to what policy component does the term "variable" refer?

cash value and death benefit

an individual just borrowed $10,000 on a 5-year note from his bank. what type of insurance is best suited for this situation

decreasing term

what type of annuity credits its interest based upon the s&p 500 index

equity index annuity

How long will a life annuity with a 15-year period certain pay?

for the life of the annuitant unless they die within the first 15 years of the annuity period, then the payments last for 15 years

what are the two classifications of annuities according to the time the annuity payments begin

immediate or deferred

who bears the investment risk in a fixed annuity

insurer

During partial withdrawal from a universal life policy, which portion will be taxed?

interest earned on the cash withdrawn

If an annuity provides a set amount of income for two or more persons with the income ceasing upon the first death, what type of annuity is that?

joint life annuity

Mortality tables are used by insurance companies to predict what?

life expectancy and death rates for specific groups of individuals

What annuity settlement option provides income payments to the annuitant for the duration of his or her life, and also guarantees payment for a specified number of years?

life income with period certain

what type of license is required to sell variable annuity contracts

life insurance license and securities license

what type of life insurance policy is life-paid up at 65

limited-pay whole life

How soon can income payments begin in an immediate annuity?

no later than 1 year from the time the annuity was purchased

With a single premium deferred annuity, when will the annuity payments become available?

no sooner than one year after the annuity purchase

Can a business or a corporation be an annuitant?

no, must be natural person

what universal life policy has gradually increases cash value and a level death benefit

option A, option B death benefit increases with cash value

what components can be changed by the policyowner in an universal life policy

premiums, face amount, period for protection

What type of whole life insurance policies only requires a payment of premium at its inception, and in addition to providing insurance protection for the life of the insured, endows at the insured's age 100?

single premium whole life

what type of annuity is suitable for someone who wants to select the benefit option tht will pay them the most for the largest amount of time for the annuitant

straight life

what type of life insurance policy provides pure death protection

term

what is the difference between a single premium and a flexible premium payment options in a deferred annuity

the number of payments that purchased the annuity

what is the purpose for establishing target premiums in universal life policies

to prevent policy for lapsing

what is the main reason for purchasing an annutiy

to provide income that the annuitant cannot outlive

Under Option B in a universal life policy, what happens to the death benefit?

under option B, the death benefit increases each year as the cash value increases

What type of annuity requires an agent to have a securities license?

variable annuity

When does an adjustable life policy accumulate cash value?

when the premiums paid are more than the cost of the policy

what type of insurance would perform the function of cash accumulation

whole life insurance


संबंधित स्टडी सेट्स

Econ: Chapter 8 (The Labor Market)

View Set

PN Maternal newborn Online Practice 2020B NGN

View Set

Basic Insurance Concepts and Principles

View Set

Chapter 1 - Nurse's Role in Health Assessment: Collecting & Analyzing Data

View Set

English Semester 2 Exam (Comprehension TKAM)

View Set

Solving for Side Lengths of Right Triangles Quiz (100%)

View Set