Which of the Following Statements About Nonforfeiture Options Found in Life

question 63

Multiple Choice

Which of the following statements about nonforfeiture options found in life insurance policies is true?

• A)Under the reduced paid-up option,the paid-up policy is term insurance.
• B)Under the extended term option,the amount of term insurance is less than the face value of the surrendered cash value policy.
• C)Under the reduced paid-up option,no additional premiums must be paid.
• D)Unless the policyowner has selected another nonforfeiture option,the cash value option goes into effect automatically.

---

Definitions:

Exaggerated Level

An overemphasized or disproportionately high degree of intensity, importance, or quantity.

Self-Esteem

An individual's overall subjective emotional evaluation of their own worth.

Narcissistic

Relating to narcissism, a condition characterized by a preoccupation with oneself and a lack of empathy for others.

Low Self-Esteem

A personal feeling of worthlessness or a lack of confidence in one's own abilities or value.