Answered

Discover a wealth of knowledge at Westonci.ca, where experts provide answers to your most pressing questions. Connect with a community of experts ready to provide precise solutions to your questions on our user-friendly Q&A platform. Get detailed and accurate answers to your questions from a dedicated community of experts on our Q&A platform.

An individual has just borrowed $10,000 from his bank on a 5-year installment loan requiring monthly payments. What type of life insurance policy would be best suited to this situation?

A. Whole life
B. Variable life
C. Decreasing term
D. Universal life

Sagot :

GinnyAnswer

Final answer:

Term life insurance is the most suitable option for individuals who have borrowed loans and need protection. It provides coverage for a specific term without cash value accumulation.


Explanation:

Term life insurance would be best suited for an individual who has just borrowed $10,000 on a 5-year installment loan requiring monthly payments. Term life insurance is a type of insurance that provides coverage for a specific period (the term), offering a death benefit to beneficiaries if the insured passes away during the term. Unlike whole life insurance, term life insurance does not accumulate cash value, making it a more cost-effective choice for protecting against the event of premature death.


Learn more about Types of life insurance policies here:

https://brainly.com/question/39819577


Thank you for your visit. We're committed to providing you with the best information available. Return anytime for more. Thank you for choosing our platform. We're dedicated to providing the best answers for all your questions. Visit us again. Westonci.ca is your go-to source for reliable answers. Return soon for more expert insights.