New York State Life Insurance Exam Questions Practice Question
When using the needs approach to determine the amount of life insurance needed, it is necessary to determine all of the following EXCEPT
Correct Answer: A
Rationale: The needs approach to life insurance focuses on assessing the financial requirements of a family in the event of losing an income earner. Options B, C, and D all relate directly to this assessment, as they consider the family's financial obligations, income potential, and necessary expenses for surviving family members. In contrast, option A, which involves projected earnings from the stock market, is not directly relevant to determining immediate needs or obligations. This makes it unnecessary for calculating life insurance requirements, as it does not address the family's immediate financial needs following a loss.
Unlock All Questions
Subscribe to Premium for full access to all practice questions, detailed rationales, and performance tracking.
Subscribe Now