Question
Sal is applying for life insurance to protect the value of his sole proprietorship business for his wife and children in the event of his
Sal is applying for life insurance to protect the value of his sole proprietorship business for his wife and children in the event of his premature death. He has requested $2,000,000 of term insurance coverage. One of the questions on the insurance application form requires Sal to divulge to the agent the amount of net (after expenses and before taxes) income generated by his business. Primarily, why would the insurer wish to know this information?
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The insurer primarily wishes to know the amount of net income generated by Sals business for several key reasons Underwriting Risk Financial stability ...Get Instant Access to Expert-Tailored Solutions
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Taxation Of Individuals And Business Entities 2015
Authors: Brian Spilker, Benjamin Ayers, John Robinson, Edmund Outslay, Ronald Worsham, John Barrick, Connie Weaver
6th Edition
978-1259206955, 1259206955, 77862368, 978-0077862367
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