Question

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

a.

Premiums are only paid for a set number of years in whole life insurance.

b.

Premiums are paid throughout the lifetime of the insured in whole life insurance.

c.

Premiums are paid only at the younger ages in whole life insurance.

d.

Premiums are paid only in the older stage of life in whole life insurance.

Posted under IC 89 Management Accounting

Answer: (b).Premiums are paid throughout the lifetime of the insured in whole life insurance. Explanation:In some forms of whole life insurance, premiums are required to be paid throughout the lifetime of the insured.

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