Which of the Following Did Not Occur in the Life

question 41

Multiple Choice

Which of the following did not occur in the life insurance industry during the most recent financial crisis?

• A)Low equity values reduced asset-based fees on separate account assets.
• B)Asset-based fees declined on products such as variable annuities and pension fund assets that were tied to equity returns.
• C)Low interest rates and harsh economic conditions caused many policyholders to terminate or surrender their policies.
• D)Policy premium increased as more households and small businesses attempted to transfer risk to insurance companies.

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Definitions:

American Foreign Policy

The strategic approach and actions taken by the United States in its relations with other nations, regarding diplomacy, military engagement, trade, etc.

Policy of Deterrence

A strategy aimed at dissuading an adversary from taking an unwelcome action by threatening negative consequences or retaliation.

Containment

A strategic policy aimed at preventing the expansion of an adversary's influence or ideology, often used in the context of the Cold War.

Cold War

A period of geopolitical tension between the Soviet Union and the United States and their respective allies, which lasted from the end of World War II until the dissolution of the Soviet Union in 1991.