Quiz: How Much Do You Know about Life Insurance?

Think you know a lot about life insurance? Try our quiz (based on LIMRA’s 2020 Life Insurance Barometer Study) to see if you’re right.

1. What is life insurance used for?
(a) Providing for a loved one financially after your death
(b) Estate planning
(c) Both of the above

2. What percentage of US adults say they have life insurance?
(a) 84%
(b) 62%
(c) 54%

3. Which is the number one reason people say they own life insurance?
(a) Replacing lost wages or income
(b) Paying for burial costs and final expenses
(c) Transferring wealth across generations

4. Which is not a type of life insurance?
(a) Term life
(b) Whole life
(c) Partial life

5. Over the past decade, US life insurance ownership has:
(a) Fallen
(b) Risen
(c) Stayed about the same

Answers: 1c, 2c, 3b, 4c, 5a

Life insurance needs differ among individuals, so determining how much coverage you need can be daunting. But it is unwise to avoid this task because obtaining the right life insurance is an important part of your overall financial plan. If you have any questions about how life insurance works, call or email me. I am always here to help you navigate through the options that are the best for you and your personal goals.