Question

Under Section 6 of the Married Women's Property Act, what is the purpose of creating a trust when a married man takes a life insurance policy?

a.

To ensure the proceeds benefit the husband's creditors

b.

To provide financial security for the wife and children

c.

To allow the husband full control of the policy

d.

To prevent the wife from accessing the policy proceeds

Posted under L05 Applications of Life Insurance IC38 Life Insurance Agent Exam

Answer: (b).To provide financial security for the wife and children Explanation:Section 6 of the Married Women's Property Act aims to ensure that the benefits of a life insurance policy pass securely to the wife and children through the creation of a trust for their benefit.

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Q. Under Section 6 of the Married Women's Property Act, what is the purpose of creating a trust when a married man takes a life insurance policy?
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