Question

Gina and Jerry are purchasing life insurance. They decided on policies that would be paid up in 20 years. What type of policies did they purchase?

a. Limited payment policies
b. Continuous payment policies
c. Economatic policies
d. Single premium policies

Answer 1

Gina and Jerry decided on limited payment life insurance policies that are paid up after 20 years, requiring no further premium payments after that period.

Step-by-step explanation:

Gina and Jerry are purchasing life insurance policies that would be paid up in 20 years. The type of policies they have decided on are known as limited payment policies. Limited payment policies are a type of life insurance where the premiums are paid for a specified number of years or until a certain age is reached, after which the policy is fully paid up and no further premium payments are required.

Gina and Jerry purchased limited payment policies for their life insurance. Limited payment policies are policies where premiums are paid for a specific number of years, after which the policy is considered fully paid. In this case, they chose policies that would be paid up in 20 years.