Card Set Information
Types of Policys
If a policy offers pure death protection, what does this mean? What does this Reveal about the cash value of the policy?
That it is term insurance, and there is no cash values.
there are no cash values
Many policies are both renewable and convertible. What is the difference between these two provisions?
Renewable-allows the policyowner the right to renew the coverage at the expiration date without evidence of insurability.
Convertible-provisions provides the policy owner with the right to covert policy to a permanent insurance policy without evidence of insurability.
With annually renewable term insurance what happens to the premium as one's age increases?
It premium goes up each year
Describe Annual Renewable Term Insurance.
deathe benefit remains level
policy maybe renewable w/out proof of insurability
premium increases annually accourding to the attained age and as the probability of death increases
How does continuous premium straight life policy automatically increase with inflation?