Insurers have greater administrative charges for flexible-premium deferred annuities (FPDAs) than they do for single-premium deferred annuities (SPDAs) because:
A) they do not have minimum required deposits for FPDAs
B) there is considerably more adverse selection among persons purchasing FPDAs
C) FPDA purchasers have much greater flexibility in making premium payments
D) This is a trick question; insurers do not impose higher administrative charges on FPDAs versus SPDAs
Correct Answer:
Verified
Q1: Which of the following statements is false?
A)
Q2: Choose the recipient of the largest dollar
Q4: Which of the following does not affect
Q5: Why do insurers use a different mortality
Q6: Which of the following does not influence
Q7: Which of the following is false regarding
Q8: Which annuity provides for a built-in reduction
Q9: Judy has $500,000 with which to purchase
Q10: The variable annuity:
A) pays a fixed dollar
Q11: Assume you are analyzing two separate annuity
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