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Jarvis a 41-year old male, bought a $115,000, 20yr life insurance policy thru his employer. Jarvis is paid weekly. How much is deducted from each of his paychecks for life insurance?

Jarvis a 41-year old male, bought a $115,000, 20yr life insurance policy thru his-example-1
User Niek
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1 Answer

4 votes

Answer: $30.25

Explanation:

Amount of insurance policy bought = $115,000

Number of years for the life insurance = 20 years.

From the chart, the Annual premium per $1000 of coverage for 20 years for a male of 40-44 years is $13.68. Therefore, the annual premium will be:

= (115,000 / 1,000) × $13.68

= 115 × $13.68 =

= $1,573.20

Note that 52 weeks make a year. Therefore, the weekly deductions will be:

= $1,573.20 / 52

= $30.25

Therefore, the correct option is D.

User Gaurav Saluja
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4.7k points