Question

In whole life insurance, the cash value is in proportion to the number of payments made. In term life insurance, when is the final premium payment made?

1) At the beginning of the policy
2) At the end of the policy
3) In monthly installments
4) Cannot be determined

Answer 1

In term life insurance, the final premium payment is typically made at the beginning of the policy.

Step-by-step explanation:

In term life insurance, the final premium payment is usually made at the beginning of the policy. This means that the insured individual pays the full premium amount upfront to secure coverage for the specified term of the policy.