Question

"How can an insured access all or a portion of a life insurance benefit to pay for a long-term illness or life-threatening disease?

A) Use the grace period provision
B) Purchase an accelerated benefit rider
C) Purchase an inflation protection option
D) Use the nonforfeiture option"

Answer 1

To access a life insurance benefit to pay for a long-term illness or life-threatening disease, an insured can purchase an accelerated benefit rider.

Step-by-step explanation:

An insured can access all or a portion of a life insurance benefit to pay for a long-term illness or life-threatening disease by purchasing an accelerated benefit rider.

Accelerated benefit riders are optional additions to a life insurance policy that allow the insured to receive a portion of the death benefit early if they are diagnosed with a qualifying illness or condition.

By choosing the accelerated benefit rider, the insured can use the funds to cover medical expenses or any other financial needs arising from their illness.