What is true about term life insurance?
Term life is typically less expensive than a permanent whole life policy – but unlike permanent life insurance, term policies have no cash value, no payout after the term expires, and no value other than a death benefit.
Which of the following is not true about term life insurance?
Which of the following is not true about term insurance? Term insurance does NOT build any cash value. While age is not the only consideration, premiums are generally lower for younger insureds. The correct answer is: Term insurance builds cash value.
What is true of level term insurance?
A level term policy's premiums and death benefit stay the same as long as the policy is active. Level term policies typically last 10-30 years, then expire. Your beneficiaries receive a tax-free lump sum if you die during your policy term.
What best describes the term insurance?
Term insurance is a type of life insurance policy that provides coverage for a certain period of time, such as 30 years. If the insured dies during the time period specified in a term policy and the policy is active, a death benefit will be paid. Most term policies offer level premiums for the duration of the policy.
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