a limited-pay life policy has quizlet

If the underlying savings in the policys sub-accounts rise the cash valuation account has the capacity to grow. Life Paid-up at Age 65 4.

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Life paid up to age 70.

. Xavier owns a 300000 whole life policy that has a current cash surrender value CSV of. The present cash value of the policy equals 250000. Graded death benefits B.

10 yr renewable life paid up to age 70 st8 whole life renewable term to 100. Rob recently died at age 60. What type of policy would offer a 40-year old the quickest accumulation of cash value.

The insured was severely injured in an auto accident and after 10 weeks of hospitalization died from the injuries. Limited payment life C. The premium paid on this type of policy will be higher at.

15 Questions Show answers. Study Life Policies flashcards from Tevin Perezs class online or in Brainscape s iPhone. Age 100 20 A term life insurance policy matures upon the insureds death during the term of the policy Decks in Insurance Class 3.

Premiums are fixed for the first 5 years. A standard variable life policy would have many sub-accounts to select from with certain policies having as much as 50. Metab 2 Final Review.

Level-premium insurance is a type of term life insurance for which the premiums remain the same throughout the duration of the contract. Expires at the end of the policy period. If purchased at age 30 paid up at age 50.

Limited-Pay and Single-Premium Whole Life. Each brother purchases a life policy that has a 750 annual premium. Your client wants both protection and savings from the insurance and is willing to pay premiums until.

Usually family policies are sold in units packages of protection such as 5000 on the main wage earner 1500 on the spouse and 1000 on each child. Paid-up at 65 20-pay life 30-pay life Straight whole life. Ike purchases a whole life policy.

A straight life b life paid-up at age 65 c renewable term to age 70 d endowment maturing at age 65. Ordinary whole life B. As a nonforfeiture option.

10-year Renewable and Convertible Term B. Straight Whole Life D. Renewable Term to Age 70.

Which of these would be considered a Limited-Pay Life policy. Insurance companies can charge an interest rate based on the policyowners credit report. An insured purchased a 15-level term life insurance policy with a face amount of 100000.

Term insurance has which of the following characteristics. How long does the coverage normally remain on a limited-pay life policy. Which of these would be considered a Limited-Pay Life policy.

A policyowner has a life insurance policy where she had listed her age on the application as 5 years younger than her actual age. S buys a 10000 Whole Life policy in 2003 and pays an annual premium of 100. S dies 5 years later in 2008 and the insurer pays the beneficiary 10500.

Renewable Term to Age 100. A 20-Pay Life will be paid up in 20 years 20 PL Limited-Pay and Single-Premium Whole Life. The family policy is a combination plan that provides insurance protection under one contract to all members of your immediate family husband wife and children.

Rob purchased a standard whole life policy with a 500000 death benefit when he was age 30. A Limited-Pay Life policy has A. Which of the following is an example of a limited-pay life policy.

Once you reach the target years or age premiums are no longer required but the policys benefits lasts the insureds entire life. As an optional policy rider. His insurance agent told him the policy would be paid up if he reached age 100.

Premium payments limited to a specified number of years. Insurers offer several limited pay policies including. C Pay the death benefit in fixed-amount or fixed-period payments.

B Allow the beneficiary to change to another option when insured dies. Cash value builds faster than ordinary straight whole life. All of the following statements are true EXCEPT.

When the insured purchased a new home he wanted to purchase a life insurance policy that would protect his family against losing it should he die before the mortgage was paid. Limited pay whole life d Interest-sensitive whole life Premium payments will cease at her age 65 but coverage will continue to her death or age. An advantage of owning a flexible premium life insurance policy would be.

Mike and Ike are 30 year old identical twins. The policy contained an accidental death rider offering a double indemnity benefit. A Limited-Pay Life policy has.

A Limited pay life insurance policy has a set period in which you pay premiums into the policy either for a number of years or to a specific age. Life Paid-Up at Age 70. Renaissance and reformation test.

Both are in excellent health. A Prevent the beneficiarys reckless spending of the death benefit. Cash value still equals face amount at age 100 policy maturity Limited-Pay and Single-Premium Whole Life.

A life policy with a death benefit that can fluctuate according to the performance of its underlying investment portfolio is referred to as. Level Term Life 2. Which of the following is an example of a limited-pay life policy.

As a provision of the policy. As a mandatory policy rider. A Mikes policy will develop no cash value over the policys term.

As an optional policy rider. The death benefit would be 250000 750000 375000 500000. The insurer can make policy charges without difficulty.

No cash value C. Past-due interest on a policy loan is added to the total debt. The policy owner can make policy changes without difficulty.

The Spendthrift Clause of a life insurance policy is designed to do all of the following EXCEPT. Life Paid-Up at Age 70 C. Mike buys a 10-year renewable term policy.

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