Question

______________ is a form of whole life in which the insurance company can change the premiums or interest rate being credited to the account based on current money market rates.

Answer 1

The correct answer is: Universal Life Insurance.

Step-by-step explanation:

Universal Life Insurance is permanent life insurance that offers a savings element. Universal life policyholders have the option to pay premiums above the minimum required to cover their life insurance. The additional premium amount is invested in gross tax-deferred, providing cash value for future use. As well, that amount is kept by the insurance company at a percentage rate in benefit to the policyholder but the company can change that rate according to current market values.