29
QuizMultiple Choice

Life Insurance — Quiz

Question 29 • Financial Math

What is a characteristic of the cash value feature of the whole life insurance option?

Answer
A
It provides a guaranteed interest rate and can be accessed during the policy's lifetime.
B
It provides no additional financial benefits for Owen's family or estate.
C
It applies only if the death benefit is paid at the end of the policy.
D
It decreases in value over the policy’s lifetime and cannot be accessed.

Explanation

Whole life insurance builds cash value over time, typically with a guaranteed interest rate. The policyholder can access that cash value during their lifetime, such as by borrowing against it or making a withdrawal. The other choices incorrectly say the cash value is unavailable or offers no financial benefit.

AI-written and checked against the verified answer.

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