One disadvantage of term life insurance is that
A) when renewed it usually is at a higher premium.
B) the risk of lost income from the death of the insured is shifted to the insurance company.
C) it is pure insurance protection for a given time period.
D) it is generally not available to young people.

Question

Quizplus · Accepted Answer

One disadvantage of term life insurance is that when renewed, it usually is at a higher premium. This is because as people age, their risk of death increases, making it more expensive for the insurance company to insure them. As a result, the premiums increase.

One Disadvantage of Term Life Insurance Is That