Types of Life Insurance Policies/ Questions & Definitions.| 2025 LATEST
UPDATED
which of the following types of insurance policies would provide the greatest amount of
protection for a temporary period during which an insured will have limited financial resources?
- (answers)term
which of the following is true regarding the premium in term policies? - (answers)the premium is
level
all other factors being equal, which of the following terms best describe the coverage provided
by term policies, as compared to any other form of protection? - (answers)greatest
which of the following is incorrect regarding a $100,000 20-year level term policy? - (answers)at
the end of 20 years, the policy's cash value will equal $100,000
what does "level" refer to in level term insurance? - (answers)face amount
which of the following best describes annually renewable term insurance? - (answers)it is level
term insurance
an insured buys a 5-year level premium term policy with a face amount of $10,000. the policy
also contains reliability and convertibility options. when the insured renews the policy in 5 years,
what will happen to the premium? - (answers)it will increase because the insured will be 5 years
older than when the policy was originally purchased.
which of the following is NOT one of the three basic types of coverage that are available, based
on how the face amount changes during the policy term? - (answers)renewable
annually renewable term policies provide a level death benefit for a premium that -
(answers)increases annually
UPDATED
which of the following types of insurance policies would provide the greatest amount of
protection for a temporary period during which an insured will have limited financial resources?
- (answers)term
which of the following is true regarding the premium in term policies? - (answers)the premium is
level
all other factors being equal, which of the following terms best describe the coverage provided
by term policies, as compared to any other form of protection? - (answers)greatest
which of the following is incorrect regarding a $100,000 20-year level term policy? - (answers)at
the end of 20 years, the policy's cash value will equal $100,000
what does "level" refer to in level term insurance? - (answers)face amount
which of the following best describes annually renewable term insurance? - (answers)it is level
term insurance
an insured buys a 5-year level premium term policy with a face amount of $10,000. the policy
also contains reliability and convertibility options. when the insured renews the policy in 5 years,
what will happen to the premium? - (answers)it will increase because the insured will be 5 years
older than when the policy was originally purchased.
which of the following is NOT one of the three basic types of coverage that are available, based
on how the face amount changes during the policy term? - (answers)renewable
annually renewable term policies provide a level death benefit for a premium that -
(answers)increases annually
