OH-Life-Agent-Series-11-44 Exam Dumps : OHIO Life Insurance Agent Series 11-44

A deferred annuity is characterized by premium payments made over time, with the income payments commencing at a future date. This allows the annuitant to accumulate funds on a tax-deferred basis before the payout phase begins. In contrast, an immediate annuity starts income payments shortly after a lump-sum premium is paid.

In a whole life insurance policy, the cash value grows on a tax-deferred basis. This means that as long as the policy remains active, the policyholder does not pay income tax on the gains within the cash value. Taxes may apply if the policy is surrendered or lapses, and the amount received exceeds the total premiums paid into the policy.

Single-Life Insuranceis a policy that insures one individual. The death benefit is paid upon the death of the insured person.

In contrast:

Survivorship Policycovers two individuals and pays the death benefit only after both have passed away.

Joint Life Contractalso insures two people but pays the death benefit upon the first death.