Sam has applied for a life insurance policy where he will be the policy owner and life insured. He is trying to decide between naming his sister, Marie, as the beneficiary of the policy or naming his estate as beneficiary. To help Sam in his decision, identify which of the following statements is/are true?

1. If Sam's estate needs liquidity, naming the estate will provide the necessary cash upon satisfactory proof of Sam's death

2. If Sam feels the will may get contested, he can ensure that Marie will receive the full insurance proceeds by naming her as beneficiary of the policy.

3. By naming his estate as beneficiary, Sam will protect the insurance proceeds from any of his creditors.

4. By naming Marie as beneficiary, Sam will lose his privacy because the insurance carrier must provide details of any insurance proceeds paid directly to a named beneficiary.

Question 11 options:

	1 and 2
	1 and 4
	2 and 3
	3 and 4