Final answer:
The best type of permanent protection for a real estate agent depends on their individual financial needs and goals. Cash-value life insurance offers a death benefit and a cash value that can be used by the policyholder, but to determine the best type among Variable, Universal, Adjustable, or Survivorship life insurance, a personalized assessment is advisable.
Step-by-step explanation:
Regarding the question of which type of permanent protection is best for a client who is a real estate agent, the correct answer is not provided as it depends on the specific financial goals and needs of the client.
Cash-value (whole) life insurance is a type of life insurance policy that includes both a death benefit and a cash value component. The cash value can accumulate over time and can be used by the policyholder for various financial needs.
Among the options listed: Variable life (A), Universal life (B), Adjustable life (C), and Survivorship life (D), each offers different benefits and features:
- Variable life insurance allows you to invest the policy's cash value in various investment options, which could be advantageous for those with investment knowledge and a desire for potential growth.
- Universal life insurance offers flexible premiums and adjustable death benefits, which can be appealing to someone whose income may fluctuate, such as a real estate agent.
- Adjustable life insurance combines features of both term and whole life insurance, offering flexibility in terms of coverage and premiums.
- Survivorship life insurance is designed to cover two people and pays out upon the passing of the second insured person, not typically chosen for individual coverage needs.
It’s crucial for a real estate agent, or any client for that matter, to assess their individual financial situation and consult with a financial advisor to determine the best type of life insurance for their specific circumstances.