Series 6 - Investment Company And Variable Contracts Products Representative Exam
Preview Mode
Any statement about the liquidity of a variable life product must include which of the following?
In the municipal securities market
A
A guarantee of the principal value of the separate account
B
The negative impact of factors such as tax penalties
C
The insurance company's financial rating
D
Explanations
Statements about the liquidity of variable life insurance must be accompanied by the negative impact of factors such as contingent deferred sales loads, tax penalties and the impact on cash value and death benefits.