A life insurer has a legal obligation to make a policyholder loan if requested by an insured.

Question

Quizplus · Accepted Answer

A life insurer is typically required to make a policyholder loan if requested by the insured, provided that the policy has accumulated sufficient cash value to support the loan. This is because the cash value in a life insurance policy is considered the policyholder's asset, and they have the right to borrow against it under the terms of the policy.

A Life Insurer Has a Legal Obligation to Make a Policyholder