Life Insurance Policies
A client holds employer-provided level term cover and asks whether personal term insurance is still needed.
Answer and explanation
Answer: A. Group term is tied to the job and typically sized as a multiple of salary, so it may end at the wrong moment and fall short of the family's need. It does not exclude illness, and conversion rights carry individual rates rather than continuation.Source: PSI — New York DFS Insurance Candidate Information Bulletin — Outline, level term group and individual
More life insurance policies questions
- How does the premium for a joint life (first-to-die) policy compare to buying two separate individual policies of the same face amount?
- How does the premium for a joint life policy compare with two separate policies on the same lives?
- How does the premium of a level premium term policy compare with the mortality cost in the early and later years?
- How is a labor union group life plan ordinarily arranged?
- How is a single premium whole life policy funded?
- How is credit life insurance usually underwritten?
621 New York questions like this one.
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