Answered: Insurance that is for a limited time…

Insurance that is for a limited time period, with no cash value accrued. a) Universal Life b) Term Life c) Whole Life d) Variable Life

Personal Finance

13th Edition

ISBN:9781337669214

Author:GARMAN

Publisher:GARMAN

Chapter12: Life Insurance Planning

Section12.2: There Are Only Two Types Of Life Insurance

Problem 5CC

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Concept explainers

Types of Insurance Contract

Insurance is a contract wherein an individual or entity gets financial protection from the insurance company for any damages or losses incurred. The individual or entity is called the insured, whereas the insurance company is called the insurer. The insured and the insurer enter a legal contract for a fixed term called the insurance term, and the contract is called an insurance policy.

Question

Insurance that is for a limited time period, with no cash value accrued.

a) Universal Life

b) Term Life

c) Whole Life

d) Variable Life

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