Final answer:
The owner of an adjustable life policy has privileges including flexibility in premium payments and death benefits, accumulation of cash value, and investment options.
Step-by-step explanation:
The correct answer is option Business.
The owner of an adjustable life policy has the following privileges:
- Flexibility to adjust the premium payments and death benefit according to their financial needs.
- Ability to accumulate cash value over time, which can be used for various purposes such as policy loans or withdrawals.
- Option to choose between different investment options for the cash value portion of the policy.
These privileges make adjustable life insurance policies attractive to individuals who want flexibility and potential cash accumulation within their life insurance coverage.
The correct answer is option adjustable life policy privileges. Typically, the owner of an adjustable life policy has the flexibility to adjust the policy in several ways, which can include altering the premium payments, the death benefit, and the cash value of the policy.
With an adjustable life policy, the insurer maintains a cash value account, which the policyholder can use in various ways.
For instance, the policyholder may take out a loan against the policy's cash value, which must be repaid with interest. This feature can be useful for policyholders needing short-term liquidity without surrendering the policy outright.
Moreover, adjustable life insurance policies are designed to provide financial protection for the beneficiaries of the policy, ensuring that they receive a death benefit upon the passing of the insured. The adaptability of these policies makes them a valuable financial tool for individuals who may have fluctuating income levels or changing life insurance needs over time.