SOFE Exam AFE Topic 1 Question 57 Discussion

Actual exam question for SOFE's AFE exam

Question #: 57
Topic #: 1

[All AFE Questions]

What features a reserve that accumulates at company declared credited interest rates, which are periodically reset?

ACredited life insurance

BPeriodic life insurance

CPremium life insurance

DUniversal life insurance

Show Suggested Answer

Suggested Answer: D

by Luisa at Apr 21, 2023, 12:35 PM

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Soledad

2 months ago

Universal life insurance, the Swiss Army knife of life insurance policies. Does it also come with a built-in espresso machine? Asking for a friend.

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Dannie

10 days ago

It's like a savings account and life insurance policy in one.

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Kenny

13 days ago

But it does have a reserve that accumulates at credited interest rates.

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Darrin

16 days ago

Haha, no espresso machine included with universal life insurance!

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Doug

18 days ago

D) Universal life insurance

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Hyman

25 days ago

C) Premium life insurance

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Mammie

1 months ago

B) Periodic life insurance

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Rolf

1 months ago

A) Credited life insurance

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Yun

2 months ago

Universal life insurance, huh? Sounds like a game of financial Tetris, trying to keep up with all those rate resets. Where's the 'Cheat Code' option when you need it?

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Cory

6 days ago

I like the flexibility of universal life insurance, it gives me more control over my policy.

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Bok

8 days ago

I prefer the stability of premium life insurance, no need to worry about rate resets.

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Ronald

23 days ago

I know, it can feel like a puzzle sometimes trying to keep up with all those rate resets.

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Margart

2 months ago

Universal life insurance, no doubt. The other options just don't have that sweet, sweet reserve that keeps building up with the company's magical interest rates.

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Skye

2 months ago

Ah, the good old universal life insurance. That's the one with the flexibility and the interest-bearing reserve, right? Gotta love those periodic rate resets!

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Rikki

2 months ago

Hmm, Universal life insurance seems like the obvious choice here. The accumulating reserve with the company-declared rates is a dead giveaway.

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Isabella

2 months ago

Universal life insurance, of course! That reserve with the periodically reset credited interest rates is the key feature that sets it apart from the other options.

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