Which of the following forms of life insurance requires the lowest premium per dollar of initial death benefits?
A) Universal life
B) Whole life
C) Variable life
D) Term life
E) Adjustable whole life

Question

Quizplus · Accepted Answer

Term life insurance provides coverage for a specific term or period of time, usually 10, 20, or 30 years. Since it has no cash value or investment component, it requires the lowest premium per dollar of initial death benefits compared to other forms of life insurance such as whole life, universal life, variable life, and adjustable whole life. Therefore, if the main objective is to obtain coverage at a low cost, term life insurance is the best choice.

Which of the Following Forms of Life Insurance Requires the Lowest