Life Insurance 05. Variable Life Insurance Flashcards
1
Q
- What is VARIABLE LIFE INSURANCE?
A
it is a kind of insurance where the death benefits and cash values depend on the investment performance of one or more separate accounts, which may be invested in mutual funds or other investments allowed under the policy.
2
Q
- What is the benefit/drawback of Variable Life Insurance?
A
a. You will have higher death benefits and cash value if the underlying investments do well.
b. Your benefits and cash value will be lower or may disappear if the investment you chose didn’t do as well as you expected.
c. You may pay an extra premium for a guaranteed death benefit.
3
Q
End
A
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