Life Policies
Premiums are payable throughout the insured's lifetime/coverage lasts until death of the insured
Which statement is correct regarding the premium payment schedule for whole life policies?
Will lose many of its tax advantages
A policy that becomes a modified Endowment contract (MEC)
20-pay life insurance accumulates rash value faster than straight life
A potential client, age 40, would like to purchase a whole life policy that will accumulate cash value at a faster rate in the early years of the policy. Which of these statements made by the producer would be correct?
Decreasing Term
Credit life insurance is typically issued with which of the following types of coverage?
Age 100
How long does the coverage normally remain on a limited-pay life policy?
Whole life policy with other insured rider
Q would like to purchase $100,000 of permanent protection on his wife and $50,000 of term coverage on himself under the same policy. What kind of policy should Q purchase?
The renewal premium is calculated on the basis of the insured's attained age
Under a renewable term policy
The duration of premium payments
When applied to whole life insurance, the word "straight" denotes:
AD&D
Which of the following types of policies pays a benefit if the insured goes blind?
Ten year Endowment
T would like to be assured $10,000 is available in 10 years to replace a roof on his house. What kind of $10,000 policy should T purchase?
