Disadvantages of life insurance settlement options include which of the following?
I.Higher yields can often be obtained elsewhere.
II.Life income options have limited usefulness at younger ages.

Question

Quizplus · Accepted Answer

Option I is a disadvantage because the yields offered by life insurance settlement options may not be competitive with other investment options. Option II is a disadvantage because life income options are more beneficial for older individuals who need a guaranteed income stream, so they may not be useful for younger policyholders. Therefore, both options I and II are disadvantages of life insurance settlement options.

Disadvantages of Life Insurance Settlement Options Include Which of the Following