ProductsPregunta 26 de 110
In a scheduled premium variable life insurance policy:
a.Both the death benefit and the cash value are guaranteed by the insurer
b.A minimum death benefit is guaranteed, while the cash value is not guaranteed and may fall to zero
c.The cash value is guaranteed but the death benefit varies with separate account performance
d.Neither the death benefit nor the cash value can change after issue
Explicación
Variable life provides a guaranteed minimum face amount as long as scheduled premiums are paid, but the cash value rides entirely on separate account results and carries no floor. Guaranteeing the cash value would defeat the variable structure. The death benefit above the minimum can also rise with strong investment performance, so nothing about the policy is fully fixed.
Practica las 110 preguntas gratis — sin registro.
Preguntas relacionadas de este tema
- Which of the following exchanges does NOT qualify for tax-free treatment under Section 1035?
- A 52-year-old owner of a non-qualified deferred annuity withdraws $20,000 from a contract with $60,000 of earnings and $40,000 of after-tax contributions. What is the tax result?
- When a non-qualified annuity is annuitized, the exclusion ratio is used to:
- A representative who wants to sell variable life insurance must hold:
- Assets supporting a variable annuity's investment performance are held in:
- Which feature distinguishes a unit investment trust from a management company?
Última revisión: · proceso editorial
Equipo Editorial de PrepPass · Verificado con FINRA Series 6 — Investment Company & Variable Contracts Rep · Cómo revisamos