Question

question 11 of 60
three years ago, an insured bought a whole life policy for herself right after the birth of her first child. now, the premiums are going to rise for the remainder of the insureds life. this is a/an
a. limited payment policy.
b. modified life policy.
c. indexed life policy.
d. variable universal policy.

Explanation:

A limited - payment policy has premiums that are paid over a set period, not for the whole life. A modified life policy has premiums that change over time but not in the way described. An indexed life policy's cash value is linked to an index. A variable universal policy has investment - like features. Since the premiums are rising for the remainder of the insured's life after a change, this is a modified life policy.

Answer:

B. Modified life policy