Which of the Following Statements Is False Concerning Term Life

question 110

Multiple Choice

Which of the following statements is false concerning term life insurance?

• A) The premiums increase as you renew the policy.
• B) It will expire and be of no value if not renewed.
• C) It has a cash value or savings feature as long as you keep the policy active.
• D) It provides the same amount of cash to a beneficiary as whole life policies.

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Definitions:

Effectiveness

The degree to which something achieves its intended outcome or purpose in a real-world scenario.

Common Stock

Stock whose owners have voting rights in the corporation, yet do not receive preferential treatment regarding dividends.