Reason for purchasing whole life insurance

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Reference no: EM131974173

1. Which of the following would not be a reason for purchasing Whole Life insurance?

Cash values that the policy owner can borrow against.

It provides the greatest amount of insurance possible at the lowest premium rate possible.

Level premium rate during the life of the policy.

Nonforfeiture options which the owner can obtain at surrender.

2. Oscar Porter purchased a $50,000 ten-year renewable term life insurance policy. This information indicates that Mr. Porter will have the right, within specified limits, to renew his insurance coverage at the end of the ten-year term

at the same premium rate he was charged for the original ten-year term policy

after first undergoing a required medical examination

for a one-year term, but not for another ten-year term

without having to submit evidence of his insurability

Reference no: EM131974173

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