Personal Uses of Life Insurance

A common reason to buy life insurance is to replace the deceased’s income that was lost and allow the surviving family members to maintain the same standard of living they had prior to the insured’s death. What is this reason called?

Martha purchased a life insurance policy and named her husband as the beneficiary. Her main reasons for purchasing the policy include preventing her husband and children from experiencing financial hardship while allowing them to maintain the same standard of living in the event of her death. What is this reason for personal life insurance called?

Using life insurance to create an estate can be a good idea, since life insurance death benefits received by beneficiaries are

Life insurance is said to be a liquid asset. What does that mean?

Which of the following is the best definition of an estate?

The assets of a very wealthy person that dies can be subject to which type of tax?