insurance exam chapter 3

which option is being utilized when the insurer accumulates dividends at interest and then uses the accumulated dividends, plus interest, and the policy cash value to pay the policy up early?

Paid-up option

What type of insurance would be used for a Return of Premium rider?

Increasing term

When a whole life policy lapses or is surrendered prior to maturity, the cash value can be used to

purchase a single premium policy for a reduced face amount

which of the following riders, is often used in business life insurance policies when the policy owners need to change the insured under the policy?

substitute insured rider

which of the following information will be stated in the consideration clause of a life insurance policy?

the amount of premium payment

all of the following are true regarding the guaranteed insurability rider EXPECT

this rider is available to all insured with no additional premium