1. Which of the following is a valid reason for having a Testamentary Trust? Allows the disposition of property while you are still alive. Eliminates the need to update Beneficiary designations. Provides a customized disposition of Probate assets. Eliminates the need for survivorship interest on Deeds.

2. The grace period clause of a life insurance contract ________________.

must be elected by the insured at the time of the policy is taken out, or it is not effective

is designed to prevent an unintentional lapse of the policy

does not not allow for payment of benefits if the insured dies within the grace period

allows for default premiums to be paid out of cash values for term policies only