Final answer:
Purchasing life insurance for a minor is not done to supplement the minor's retirement income, as life insurance is aimed at providing financial support to dependents after the insured's death, not for future personal financial planning such as retirement.
Step-by-step explanation:
Supplementing a minor's retirement income is not a reason for purchasing life insurance on the life of a minor. Life insurance is generally intended to provide financial protection and support to dependents in the event of an individual's untimely death.
For a minor, the primary reasons for life insurance may include covering potential funeral costs or providing financial support for the family left behind if the minor has income that contributes to the household. In contrast, supplementing retirement income involves planning for an individual's own future financial needs, which is not relevant for minors under life insurance policies. Instead, individuals can save for retirement through savings accounts, investments in stocks and bonds, or purchasing annuities. It is important to understand that life insurance for minors is more about protecting the family financially in the face of tragedy rather than contributing to the minor's future retirement.