Which of the following statements regarding term life insurance is true?
A) All term policies maintain a level premium throughout all periods of coverage while the amount of protection decreases.
B) Term life usually offers lower initial premiums than other types of insurance.
C) Term life insurance offers permanent coverage.
D) A major disadvantage of term insurance is the lack of a convertibility provision.
E) Term life insurance provides for the accumulation of cash value.

Question

Quizplus · Accepted Answer

Term life insurance typically has lower initial premiums than other types of insurance, such as whole life or universal life insurance. This is because term insurance only provides coverage for a specific period of time and does not have the investment component or cash value of other types of insurance.

Which of the Following Statements Regarding Term Life Insurance Is