New Jersey Life Insurance Exam Practice Question
The policy feature that makes universal life different from whole life insurance policies is
Correct Answer: B
Rationale: Universal life insurance is distinguished by its flexible premium schedule, allowing policyholders to adjust their premium payments and death benefit amounts. This adaptability caters to changing financial needs over time.
Option A, fixed face amount, applies to both whole and universal life policies, as both can have a set death benefit.
Option C, assignment options, refers to the ability to transfer ownership or benefits, which is available in both policy types.
Option D, settlement options, pertains to how benefits are paid out and is not unique to universal life. Thus, flexibility in premium payments is the key differentiator.
Unlock All Questions
Subscribe to Premium for full access to all practice questions, detailed rationales, and performance tracking.
Subscribe Now