Author Question: A factor that can be ignored when determining the cost of life insurance is A) time value of ... (Read 58 times)

P68T · **on:** Jul 11, 2018

A factor that can be ignored when determining the cost of life insurance is

A) time value of money.
B) premiums paid.
C) settlement options.
D) dividends.

Question 2

Janet is the beneficiary of her uncle's 200,000 life insurance policy. When her uncle died, Janet selected a settlement option that pays monthly benefits for as long as she lives.

If Janet dies before receiving 200,000, payments will continue to a contingent beneficiary until a total of 200,000 has been paid. What settlement option did Janet select?
A) joint-and-survivor annuity
B) life income with guaranteed total amount
C) life income with guaranteed period
D) fixed amount option