Question

Question 66

Which type of plan allows an employer to give money to an employee for
buying a life insurance policy and also permits the employee to select the
beneficiary?
O Split-dollar plan
O Employer purchase plan
O Key employee plan
O Deferred compensation plan
Select the appropriate response
85 of 150 Questions Remaining
Submit Response

Answer 1

A split-dollar plan is a type of plan that allows an employer to give money to an employee for buying a life insurance policy and permits the employee to select the beneficiary.

Step-by-step explanation:

The type of plan that allows an employer to give money to an employee for buying a life insurance policy and also permits the employee to select the beneficiary is a split-dollar plan. In a split-dollar plan, the employer and employee split the cost and benefits of the life insurance policy. The employee has the flexibility to choose who will receive the policy's benefits.

Learn more about Split-dollar plan for employee life insurance