Your client, Ping, has a 10-year convertible term life insurance policy with a waiver of premium for
Question:
Your client, Ping, has a 10-year convertible term life insurance policy with a waiver of premium for total disability benefit. In year 9 of the policy, Ping becomes disabled as defined in his policy. Ping calls you looking for advice. When does Ping ask you what will happen when he reaches the end of the 10-year term, which of the following is the CORRECT response that you should provide to Ping?
a)Ping can renew his policy for another 10-year term as long as he makes regular premium payments on the new policy.
b)Ping can renew his policy for another 10-year term and his premiums will still be waived on the new policy as long as he is still disabled.
c)Ping's policy will convert into a permanent policy and his premiums will still be waived on the new policy as long as he is still disabled.
d)The conversion option is not available while Ping is on disability, but he can apply for a new policy when the current term expires.
Elementary Statistics A Step By Step Approach
ISBN: 978-1259755330
10th edition
Authors: Allan G. Bluman