Chapter 3 - Types of Policies and Riders Flashcards
The purpose of this chapter is to acquaint the student with the types of life insurance products, and their features, characteristics, and uses. There are no “standard” life insurance policies. However, all policies are either temporary or permanent, and can also be fixed or variable. The chapter concludes with a discussion of various riders that can be utilized to alter, amend, or modify the underlying policy.
1
Q
Learning Objectives
A
Upon the completion of this chapter, you will be able to:
- Define the terms endow, face amount, cash value, and rider
- Compare and contrast the types of term
- Identify the characteristics of whole life insurance
- List the characteristics of universal life
- Distinguish between variable and universal life
- Explain the purpose of life insurance policy riders
2
Q
Overview
A
The purpose of this chapter is to acquaint the student with the types of life insurance products, and their features, characteristics, and uses. There are no “standard” life insurance policies. However, all policies are either temporary or permanent, and can also be fixed or variable. The chapter concludes with a discussion of various riders that can be utilized to alter, amend, or modify the underlying policy.
