Life Insurance Answers

Because Aaron, age 32, is a smoker, he must pay more for life insurance. Given that Company A charges 20% more for smokers, Company B charges 18% more for smokers, Company C charge 25% more for smokers and Company D charges 15% more for smokers, Aaron decides to buy his $250,000 policy from Company B. Which of the following statements is true? a. Aaron is paying the smallest premium possible with Company B. b. Aaron is paying $93 more in premiums than he would with Company A. c. Aaron is paying $129 more in premiums than he would with Company C. d. Aaron could have chosen any company because the premiums are all the same. Please select the best answer from the choices provided

James is looking into life insurance. He currently makes $50,000 a year and has two children, ages 15 and 11. How much coverage and how long a term of life insurance would you recommend to James?

Jacob wants to buy a $500,000 15-year term life policy, and the annual premium rate (per $1000 of face value) for his age group is $6.78. If Jacob lives until the end of the term of his policy, how much will Jacob have paid in premiums overall?a.$101,700 b.$3,390 c.$50,850 d.$73,746

You're 35 years old now, and you want to purchase life insurance which will cover your spouse for your lost income in the event of your death. You want this policy to last until what would be your normal retirement age of 65. Based on the given information, what is the best policy to buy? a.10-year term policy b.20-year term policy c.30-year term policy d.Whole life policy

Jeremy is 29 years old and in good health. What is the annual premium for the cheapest policy having a $90,000 face value that Jeremy can buy? a. $1,825 b. $1,294 c. $1,929 d. $1,643 Please select the best answer from the choices provided

The two basic types of life insurance policies are:a.Universal and Endowment b.Term and Permanent Whole Lifec.General and Select d.Long Term and Short Term

Lamar, age 43, wants to pay no more than $1,000 a year in life insurance. If the annual life insurance premium rate (per $1000 of face value) is $12.59, what is the largest whole life policy he can buy without spending more than $1,000 annually?a.$12,590 b.$341,540 c.$541,370 d.$79,000

After getting married, Joe, 32, and Melinda, 29, decide to take out life insurance policies. Joe would like a 15-year term policy and Melinda would like a 20-year term policy. They each want a $300,000 policy. How much can Joe and Melinda expect to pay in premiums the first year? a. $2,478 b. $2,484 c. $1,488 d. $2,409 Please select the best answer from the choices provided