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Which of the following policies will provide for a flexible premium, adjustable death benefit, and a guaranteed minimum interest to be credited to the general account if the current rate falls to the minimum rate?

A. Adjustable life
B. Variable life
C. Variable Universal life
D. Universal life

User Hanyu Guo
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1 Answer

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Final answer:

The correct answer is Universal Life insurance is the policy that allows flexible premiums and death benefits, as well as guarantees a minimum interest rate for the cash value account.

Step-by-step explanation:

The policy that provides for a flexible premium, adjustable death benefit, and a guaranteed minimum interest rate to be credited .

To the general account if the current rate falls to the minimum is known as Universal Life insurance.

Universal Life insurance offers flexibility in premiums and death benefits, and it has a cash value component that grows based on a minimum interest rate.

guaranteeing that it will not fall below this threshold, even if the overall interest rates in the market do.

It is designed to provide policyholders with more flexibility compared to traditional whole life insurance policies.

User Msp
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