Which of the Following Statements Is True About a Guaranteed

question 105

Multiple Choice

Which of the following statements is true about a guaranteed renewable long-term care policy?

• A) Benefits are taxable.
• B) Premiums are never tax deductible.
• C) The policy is non-cancellable.
• D) Premiums cannot be increased by the insurer unless they are increased for the entire rating class.
• E) Premiums cannot increase for any reason.

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Definitions:

Attorney Liability

The legal responsibility of a lawyer for loss or damage resulting from their professional conduct or negligence.

Negligence

A failure to behave with the level of care that someone of ordinary prudence would have exercised under the same circumstances, resulting in harm or damage.

Non-Client

An individual or entity that does not have a professional agreement or service relationship with a particular service provider or firm.

Working Papers

Documents prepared or obtained by auditors during a financial audit, which serve as the basis for their findings and conclusions.