In a level term life policy, which element remains constant?

In a level term life policy, which element remains constant?

• A. Premium
• B. Cash Value
• C. Riders
• D. Death Benefit

Answer: (D)

In a level term life policy, the death benefit is fixed for the entire term. That means the amount paid to beneficiaries if the insured dies during the term stays the same from start to finish, which is the defining constant of this type of coverage. Cash value isn’t built up in term policies, so there’s nothing here that would vary over time. While premiums in level term are typically kept level for the term, the key point the question is looking for is that the death benefit remains unchanged throughout the term.

In a level term life policy, the death benefit is fixed for the entire term. That means the amount paid to beneficiaries if the insured dies during the term stays the same from start to finish, which is the defining constant of this type of coverage. Cash value isn’t built up in term policies, so there’s nothing here that would vary over time. While premiums in level term are typically kept level for the term, the key point the question is looking for is that the death benefit remains unchanged throughout the term.