Posted by & filed under Personal Finance 2e (Vickie Bajtelsmit).

Life insurance may not be the most tantalizing topic, it certainly is important and necessary, if you have loved ones who depend on you financially. This article talks about what you need to know about the basics of life insurance and how to get life insurance quotes.

 

 

Multiple Choice

  1. Life insurance policies
  • Can range from very small to a very high amount
  • Must always designate only one beneficiary
  • Generally, become cheaper the higher the payout
  • Generally, do not get affected by gender, age, or health

 

  1. The primary reason for buying a life insurance policy is
  • To provide safety for yourself
  • To protect your assets
  • To provide safety for those who rely on your financial support
  • To provide a tax-planning tool for low-income earners
  1. Which of the following policy is the most expensive since it offers a guaranteed rate of return?
  • Term Life insurance
  • Permanent Life Insurance
  • Whole Life Insurance
  • Universal Life Insurance
  1. A type of permanent life insurance policy that is targeted at older adults who want a policy that will pay for final expenses is known as
  • Permanent Life Insurance
  • Guaranteed Issue
  • Whole Life insurance
  • Universal Life insurance
  1. Which one of the following is a myth when it comes to life insurance policies?
  • You always need a medical exam before you can get a life insurance policy
  • The younger you are when you buy life insurance, the more affordable it will be
  • Life insurance is more affordable than you think
  • The application process can be fast and easy when purchasing a life insurance policy

 

Leave a Reply

Your email address will not be published.