QUESTION 9

1. The expenses of a life insurance company have no bearing on the premiums the company charges.

   True

   False

3.33333 points

QUESTION 10

1. If you purchase a variable life insurance policy, then amount of the death benefit depends on the returns of earned by the funds where your premiums are invested.

   True

   False

3.33333 points

QUESTION 11

1. Your goal is to accumulate $1,000,000 for retirement. Your plan is to retire in 50 years. In 40 years, you will be 70 years old. How much will you have to invest at the end of the year for 50 years to reach your goal if your investments grow at 3% per year compounded annually?

   The answer is between $8,850 and $8,870 per year.

   https://investingtothrive.com/financial-goals-how-to-reach-them-basic-formulas/

   True

   False

3.33333 points

QUESTION 12

1. Riders that are part of your life insurance policy are free. They are marketing devices used by insurance companies.

   True

   False

3.33333 points

QUESTION 13

1. A cost of living rider that you purchase as part of your insurance life insurance policy gives you the option to buy additional insurance coverage to compensate for inflation.

   True

   False

QUESTION 15

1. Variable universal life (VUL) insurance combines elements of investing in risky assets with that of a life insurance product.

   True

   False