Question

Straight whole life insurance can be accurately described in all of these statements EXCEPT:

A. Policy protection normally expires at age 65.
B. Nonforfeiture values are available to the policy owner.
C. Provides level protection with level premiums.
D. Cash value loans are permitted.

Answer 1

Straight whole life insurance does not normally expire at age 65.

Step-by-step explanation:

Straight whole life insurance can be accurately described in all of these statements EXCEPT:

1. Policy protection normally expires at age 65.
2. Nonforfeiture values are available to the policy owner.
3. Provides level protection with level premiums.
4. Cash value loans are permitted.

In straight whole life insurance, the policy protection does not normally expire at age 65, unlike other forms of whole life insurance such as limited-pay whole life or single premium whole life. Straight whole life insurance provides lifetime coverage, meaning the policy remains in force until the insured person passes away. The other statements - nonforfeiture values, level protection with level premiums, and cash value loans - are accurate descriptions of straight whole life insurance.