All the following are standard life insurance dividend options EXCEPT:

All the following are standard life insurance dividend options EXCEPT:



A) leaving the dividends with the insurer to accumulate at interest in a cash account.

B) taking the dividend as an income tax-free cash distribution from the insurer.

C) using the dividend to increase the base whole life policy's face amount.

D) using the dividend to purchase a unit of paid-up whole life insurance.



Answer: C) using the dividend to increase the base whole life policy's face amount.

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