Final answer:
Variable Universal Life insurance combines investment choices with term coverage, offering a death benefit and the potential for cash value growth through investments.
Step-by-step explanation:
The insurance policy that integrates investment choices with a form of term coverage is known as Variable Universal Life (VUL) insurance. Unlike traditional term insurance, VUL offers a death benefit while also incorporating an investment component. Premium payments exceeding the cost of insurance are directed towards a variety of funds linked to different investment options. This structure allows the cash value of the policy to potentially grow over time based on the performance of these investments.
Variable Universal Life insurance provides policyholders with the flexibility to allocate funds among various investment options, such as stocks or bonds, allowing them to tailor the investment strategy to their risk tolerance and financial goals. This unique combination of insurance and investment features offers the potential for increased returns while maintaining a death benefit, making it a versatile option for those seeking both protection and investment growth.