Q772
In which type of policy, death benefits and cash value varied with investment experience?
A.
Traditional cash value plan
B.
ULIP
C.
Universal Life Ins
D.
Variable life ins
AnswerAnswer: Option D
Solution
Answer: Option D
Solution:
In Variable life insurance policy, death benefits and cash value varied with investment experience. A variable life insurance policy does offer a guaranteed death benefit, which will not fall below a minimum amount even if the invested assets devalue significantly. The variable death benefit is equal to the cash value at the time of death, plus the face value of the insurance.