Question

What is the primary purpose of whole life insurance?

a.

To provide coverage for a specified time period.

b.

To provide coverage for the entire lifetime of the insured.

c.

To accumulate a cash value for the insured.

d.

To invest in securities for the insured.

Posted under IC 89 Management Accounting

Answer: (b).To provide coverage for the entire lifetime of the insured. Explanation:The primary purpose of whole life insurance is to provide coverage for the entire lifetime of the insured.

Interact with the Community - Share Your Thoughts

Uncertain About the Answer? Seek Clarification Here.

Understand the Explanation? Include it Here.

Q. What is the primary purpose of whole life insurance?
Add Comment

Similar Questions

Explore Relevant Multiple Choice Questions (MCQs)

Q. How does the premium payment in whole life insurance differ from term insurance?

View solution

Q. What is the purpose of the reserve element (cash value) in whole life insurance?

View solution

Q. What is the characteristic of cash value life insurance?

View solution

Q. What are the two basic forms of whole life insurance?

View solution

Q. What is the primary purpose of an endowment life insurance policy?

View solution

Q. What is a major benefit of an endowment policy over a whole life policy?

View solution

Q. How does an endowment policy differ from a whole life policy in terms of the premium?

View solution

Q. What is the major benefit of a Double Endowment Policy?

View solution

Q. What is the characteristic of a Money Back Policy?

View solution

Q. What characterizes Endowment Plans With Fixed Guaranteed Returns?

View solution

Q. What distinguishes Traditional With Profits Endowments?

View solution

Q. What defines Unit-linked Endowment Plans?

View solution

Q. What characterizes a Full Endowment Plan?

View solution

Q. What is the characteristic of a Pure Endowment policy?

View solution

Q. What distinguishes Group Insurance from individual insurance?

View solution

Q. What is a characteristic of Group (Term) Insurance Scheme?

View solution

Q. What does Group (Term) Insurance Scheme cover?

View solution

Q. How is the premium charged in a Group (Term) Insurance Scheme?

View solution

Q. What are examples of add-ons or riders in Group Term Insurance schemes?

View solution

Q. What is the statutory basis for Gratuity payments in India?

View solution
View All MCQs on IC 89 Management Accounting

Recommended Subjects

Are you eager to expand your knowledge beyond IC 89 Management Accounting? We've handpicked a range of related categories that you might find intriguing.

Click on the categories below to discover a wealth of MCQs and enrich your understanding of various subjects. Happy exploring!

Drug and Pharmaceutical Biotechnology

Navigate the world of pharmaceuticals and biotechnology with our dedicated category....

Mass Transfer

Delve into the science of Mass Transfer with our specialized category. Explore...

Cost Accounting

Dive into the realm of Cost Accounting with our specialized category. Explore cost...

Logical Reasoning

Enhance your logical thinking and decision-making abilities with our Logical...

International Relations

Navigate the complex world of International Relations with our dedicated category....

General Knowledge

Expand your horizons and stay informed about the world with our General Knowledge...

Virology

Explore the captivating world of Virology with our specialized category. Dive into...

Electrical Measurement and Instrumentation

Unlock the world of electrical measurements with our dedicated category. Explore...

Geotechnical Engineering

Dive into the world of Geotechnical Engineering with our dedicated category. Explore...