Which of the following statements regarding savings in whole life insurance is true? policy cash values decline in later years because the premium drops below the cost of the insurance coverage at older ages the savings grow to equal the policy face value at age 65 interest earned on the savings is subject to taxation in the year it is earned the savings result from the leveling of the annual premium All of the following statements about decreasing term insurance are true EXCEPT: a decreasing term policy provides an effective hedge against inflation the face amount of the policy decreases each year but the premium remains level throughout the period some policies structure the premiums so that the policy is fully paid for a few years before coverage expires a decreasing term policy would be a cost-effective way to retire a mortgage if the insured dies before the mortgage is repaid Which of the following would NOT be an appropriate use of term insurance? to save money for a specific need (such as your child's college education) to obtain a significant amount of insurance at an affordable price to protect your ability to repay a mortgage upon the death of the insured to guarantee future insurability