Which of the following is a contractual savings institution?
A)a life insurance company
B)a credit union
C)a savings and loan association
D)a mutual fund

Question

Quizplus · Accepted Answer

A life insurance company is a contractual savings institution because it provides insurance policies that also serve as savings vehicles for policyholders. Policyholders pay premiums, and a portion of those premiums is invested by the insurance company, generating returns that are credited to the policy's cash value. This cash value grows tax-deferred until the policy is surrendered, matures, or is paid out in the event of the policyholder's death.

Which of the Following Is a Contractual Savings Institution