In which of the following instances would the premium be tax deductible?

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In which of the following instances would the premium be tax deductible?

A. Premiums paid by a mother on her son's policy

B. Premiums paid by an employer on the life of a key person

C. Premiums paid by an employer on a $30,000 group term life insurance plan for employees

D. Premiums paid by an individual on his/her own life insurance

Answer: C. Premiums paid by an employer on a $30,000 group term life insurance plan for employees

Life Insurance

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An insured's building has an actual cash value of $200,000, and he has insured the property for $120,000 with an 80% coinsurance clause. A $40,000 loss occurs. How much will the policy pay?

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