PSI Ohio Insurance Practice Exam 2025 – All-in-One Guide to Exam Success

Question: 1 / 400

What is typically a feature of variable life insurance products?

Fixed death benefit only

No cash value development

Investment options in separate accounts

Variable life insurance products are distinct in that they offer policyholders a variety of investment options through separate accounts. This feature allows policyholders to allocate their premium payments among various investment vehicles, such as stocks and bonds, which can lead to varying cash values and death benefits depending on the performance of these investments. Unlike traditional life insurance products that provide a fixed return or a guaranteed payout, variable life insurance enables individuals to assume more control and potential for higher rewards, albeit with increased risk associated with market fluctuations. The structure of variable life insurance is designed to provide flexibility, making it an attractive choice for those looking to combine life insurance protection with investment growth potential.

Get further explanation with Examzify DeepDiveBeta

Guaranteed premiums for life

Next Question

Report this question

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy