C17 & C19 - Life Cycle Risks & Life Insurance

<p>Part A, Part B, Part C, Part D (A)</p> Signup and view all the answers

<p>Insufficient contributions from younger workers (A)</p> Signup and view all the answers

<p>The potential income a deceased person would have earned if they had lived. (C)</p> Signup and view all the answers

<p>It allows the policyholder to skip premium payments if disabled. (C)</p> Signup and view all the answers

<p>Term life insurance (A)</p> Signup and view all the answers

<p>Living benefits can be used for various expenses during the insured's life; death benefits are paid upon death. (D)</p> Signup and view all the answers

<p>It covers multiple people under a single policy. (C)</p> Signup and view all the answers

<p>(#dying / #alive) x $1,000 (B)</p> Signup and view all the answers

<p>Both the employer and employee share the contributions. (C)</p> Signup and view all the answers

<p>Cash benefits are quantifiable monetary amounts; non-cash benefits include services or products. (B)</p> Signup and view all the answers

<p>Qualified plans are deductible as business expenses until benefits are received. (D)</p> Signup and view all the answers

<p>Whole life insurance (B)</p> Signup and view all the answers

<p>It ensures equal coverage for all group members regardless of health. (C)</p> Signup and view all the answers

<p>The funds set aside to pay potential claims that exceed actual contributions. (A)</p> Signup and view all the answers

<p>It doubles the death benefit if death occurs from an accident. (A)</p> Signup and view all the answers

<p>They depend solely on employer contributions. (D)</p> Signup and view all the answers

<p>Whole life insurance offers lifelong coverage, while term life covers a specific period only. (B)</p> Signup and view all the answers

<p>Rider of Guaranteed Insurability Option (D)</p> Signup and view all the answers

A retirement plan where employer contributions aren't tax-deductible as business expenses unless treated as employee compensation.

Old-age, survivors, disability, and health insurance program (Social Security).

Benefits received based on work history and qualifications.

Covers hospital care and related services following treatment or procedures.

Covers prescription drugs.

The remaining value of a whole life insurance policy after taxes are considered.

A life insurance rider allowing policyholders to skip premiums during disability or unemployment.

Additional payout to beneficiaries in case of accidental death, often double the base death benefit.

Life insurance provided by an employer to multiple employees with lower premiums, less customization.

Life insurance purchased directly by an individual, customized, higher cost.

All non-cash benefits offered by employers to employees, including insurance, assistance, etc.

Employee benefit plan requiring employee contributions to the plan.

Employee benefit plan deductible by the employer and not taxed until received as benefits.

Potential financial exposures throughout a person's life, including mortality, morbidity, and disability.

Data used to estimate the likelihood of death, lifespan, sickness, disability, or annuity payouts, crucial for life insurance.

Estimating the economic worth of a deceased person's future income.

Provides death protection for a specific period, with premiums increasing over time, only paid if insured dies within the term period.

Provides lifetime death protection with level premiums, accumulating cash value.

Life insurance payouts while the insured is alive, often for specific needs. Tax implications depend on the use of funds.

Cash benefits (direct wages) are taxable; non-cash benefits (like perks/benefits) are non-taxable.

Estimating the value of a person's future earnings by considering their reserves and income.