Life Obj content

Question 1

MPP

Answer 1

1. Rec jt DTA/CIC
2. £200k 18y to match mort
3. Ben red inline with bal
4. Econ as set term/decreasing – WOL
5. Upon death/CI cl mort
6. Rec 1st death, split tr so life not in est..
7. £101 L&G ,written on guar prem mean..
   WOP, if unable wk <6mth AS
8. No tax rel on prem, but proceeds

Sub 2 mort CR recc blw

Question 2

A - Life

Answer 2

1. Rec each FIB/CIC
2. A - £4500 till term end
3. Event death/CI D can still +£2k sch
4. 18yr coincide Ch 21, need less
5. £100pm

Question 3

David -life

Answer 3

1. D £1500 same term
2. Cost £71
3. CIC dupl IPI in some circ
4. But, otherwise not cov some ill
5. Worthw as loss of eith inc dram on fam lives
6. More oft need for CI for care, equip, mods
7. Writ split tr so life o/s est, CI for you
8. Both Guar prems
9. No tax rel on prem, but proceeds
10. Friends prov

Question 4

Curr life

Answer 4

1. A –occ pen 2x £40
2. Ensure nom pers for death bene
3. D –val fund £90k
4. Written tr so not est
5. Plans ensure unforeseen/add cost met, not relied on as not guar

Question 5

BPI

Answer 5

1. D req mo info to prt bus % fams
2. Rec X-opt agr
3. Dec ptnr opt to sell/sur opt buy
4. Bec opt IHT relief
5. Either exc opt
6. Rec u & J take LTA £60k to enable Pur
7. As ltd info on bus based val V rough x2NP
8. Dis actual val
   Means if eith die other no need sell
9. 27 till ret
10. £13pm
11. Guar prems
12. No tax rel on prem, but proceeds

Question 6

KPI

Answer 6

1. Cont to NP same as drawing
2. No need to rep inc lost due to death
3. Howe, can dis is you think aff

Question 7

WOL

Answer 7

1. Full rev
2. Sub to conf det eg. Guar prems may rec canc once FIB on
3. Prot need more ecom met by…