Calculate the Value of the Nonforfeiture Options for the Following

question 144

Short Answer

Calculate the value of the nonforfeiture options for the following life insurance policy issued to a female at age 20. $$\begin{array} { l l l l l l l } \text { Face Value } & \text { Yearsin } & \text { Type of } & \text { Cash } & \text { Paid-up } & \text { Extended } & \text { Term } \\\text { of Policy } & \text { Force } & \text { Policy } & \text { Value } & \text { Ins. } & \text { Years } & \text { Day } \\\hline \$ 45,000 & 7&\text {Whole} & & & &\\&& \text {Life}&&&&\end{array}$$

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Definitions:

MEO

Stands for Medium Earth Orbit, referring to a satellite system placed at an altitude between low earth and geostationary orbits, often used for communication and navigation.

Global Coverage

The extent to which a service, such as telecommunications, is available worldwide or across a wide area.

GEO

Stands for Geostationary Earth Orbit, a circular orbit around Earth that matches the Earth's rotation, allowing satellites to appear stationary relative to a point on Earth.

LEO

An acronym for Low Earth Orbit, which refers to a satellite orbit less than 2,000 kilometers above the Earth's surface, commonly used for telecommunications, military reconnaissance, and scientific observation.