A life insurance policy that provides coverage for the insured's entire life and builds cash value is generally known as what?
A. Whole life insurance
B. Term life insurance
C. Group credit life insurance
D. Accidental death insurance
Source: NAIC Resource Center, Glossary of Insurance Terms; https://content.naic.org/resource-center
A term life policy in which the death benefit decreases over the life of the policy, often used to cover a shrinking mortgage balance, is called what?
A. Decreasing term life insurance
B. Level term life insurance
C. Increasing term life insurance
D. Universal life insurance
Source: NAIC Resource Center, Glossary of Insurance Terms; https://content.naic.org/resource-center
Which type of life insurance combines a flexible premium structure with an adjustable death benefit and a cash value account that earns interest declared by the insurer?
A. Universal life insurance
B. Term life insurance
C. Credit life insurance
D. Group term life insurance
Source: NAIC Resource Center, Glossary of Insurance Terms; https://content.naic.org/resource-center
A life insurance policy whose cash value is invested in separate accounts chosen by the policyowner, with both the cash value and death benefit fluctuating based on investment performance, is called what?
A. Variable life insurance
B. Whole life insurance
C. Term life insurance
D. Group life insurance
Source: NAIC Resource Center, Glossary of Insurance Terms; https://content.naic.org/resource-center
An annuity that begins making payments to the annuitant immediately after a single lump-sum premium is paid is called what?
A. An immediate annuity
B. A deferred annuity
C. A variable annuity only
D. A term annuity
Source: NAIC Resource Center, Glossary of Insurance Terms; https://content.naic.org/resource-center
