Life Insurance Policies
What must an association satisfy before it may sponsor a group life plan?
Answer and explanation
Answer: B. The group must be a genuine association with a common purpose, formed for reasons other than buying insurance, together with minimum size and participation requirements. A licence is not required of the sponsor, and complete participation is not the test.Source: PSI — New York DFS Insurance Candidate Information Bulletin — Outline, association group
More life insurance policies questions
- Why does level term cost less than whole life for the same face amount at the same age?
- Why does New York limit the amount of insurance that may be written on the life of a minor?
- Why does survivorship life cost less than an individual policy of the same face amount on either insured?
- Why is group life insurance generally cheaper per unit than individual insurance?
- Why is the annual premium for continuous premium whole life lower than for limited payment whole life at the same age and face amount?
- Why is the annual premium of a twenty payment whole life policy higher than that of continuous premium whole life?
621 New York questions like this one.
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