HLLQP - LIFE 03 FC - Whole Life and Term-100 Insurance questions with correct answers

What are the three main types of permanent insurance policies? HLLQP - LIFE 03 FC Answer 1. Term-to-100, or simply T-100 (least expensive) 2. Whole life insurance. 3. Universal life insurance (most expensive) What does it mean when an insurance policy is a non-participating policy? HLLQP - LIFE 03 FC Answer If a revenue surplus occurs, the insurer retains the entire amount and does not share it with the policyholder. With T-100, what happens when the life-insured reaches age 100? HLLQP - LIFE 03 FC Answer Depending on the policy, one of two things occur: 1. Some policies will pay the death benefit, because when setting the premium insurance companies assume that everyone dies by age 100. 2. Other policies will not pay the death benefit until the life-insured actually dies, but no further premiums need be paid once he or she reaches age 100. What are some examples of permanent insurance needs? HLLQP - LIFE 03 FC Answer 1. F