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1.
Whole life insurance premium rates are more expensive than term insurance rates because _______.
Choose wisely. There is only one correct answer.
You are funding investments that will pay for the policys cash value if you terminate the policy. This will naturally cost you more.
2.
When you receive insurance through a group term life insurance plan, you may have to pay for _______.
Choose wisely. There is only one correct answer.
Any of the above. There may be great variation among arrangements.
3.
Under IRS rules, the first ________ of group term life insurance provided as an employee benefit is tax-free to the employee.
Choose wisely. There is only one correct answer.
$50,000. Anything above that amount is taxable.
4.
In setting a premium for an entire group of employees, insurance underwriters consider _______.
Choose wisely. There is only one correct answer.
The size of the group. Their health status isnt as important because risk is spread among numerous people.
5.
Features of group term life insurance policies may include _______.
Choose wisely. There is only one correct answer.
Both A and B. Disability insurance wont be included.