Life-Annuity-LTC

Question 1

Viatical Terminally ill vs Chronically ill

Answer 1

taxation (add info here)

Question 2

Individuals that are considered chronically ill may benefit from tax-free treatment of viatical settlements only if the funds received are used for __________________

Answer 2

qualified long-term care services.

Question 3

Individuals that are considered terminally ill may benefit from tax-free treatment of viatical settlements only if the funds received are used for __________________

Answer 3

Anything

Question 4

Whole life insurance is most likely to be a participating policy, what does this mean?

Answer 4

meaning the policy pays dividends.

Question 5

The insurer requires satisfactory evidence that the insured suffers from a terminal illness. Satisfactory evidence would include:

Answer 5

Medical examination paid for by the insurer.

Hospital or nursing home records.

Certification from a legally qualified physician….
A legally qualified physician must be someone other than the Owner or the Insured, or a spouse, mother-in-law, father-in-law, step-parent, or natural or adoptive brother, sister, parent, grandparent, or child of the Owner or the Insured.

Question 6

A terminally ill individual is someone who has been certified by a physician as having an illness or physical condition that can reasonably be expected to result in death in _________ or less after the date of certification.

Answer 6

24 months or less after the date of certification