Which of the following accurately describes the term "Collateral Assignment" Question 5 options:

Collateral Assignment is a form of borrowing against the face value of the insurance policy

Collateral Assignment is used as a substitute for creditor insurance

Collateral Assignment is a form of borrowing against the cash value of the insurance policy

Collateral assignment charges higher fee's at the beginning of the policy and lower fee's closer to the end of the insurance policy

Which of the following statements regarding riders on insurance policies are correct?

1.A policy holder who is concerned with inflation should consider a cost of living rider so that the face value of the policy gets increased periodically

2.A waiver of premium can be valuable should an individual experience a prolonged loss of income

3.The accidental death rider allows for a lower premium cost on the policy

4.Riders are applicable to both permanent and term insurance policies

Question 8 options:

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

Louis owns a non-exempt life insurance policy with a death benefit of $500,000 and a cash value of $41,500. Given this scenario, if Louis' daughter, Marla, was the beneficiary of the policy, how much tax would she need to report in the year of his death? Assume an MTR of 25% for Marla.

Question 6 options:

	$0
	$10,375
	$135,375
	$500,000