Which of the following statements is correct regarding an employer's ability to deduct the premiums it pays for an employee's life insurance benefit?

a. Premiums are deductible as long as the business does not derive a direct benefit from the policy

b. Premiums can be deductible if the business does not receive more than 50% of the death benefit

c. An employer cannot ever deduct premiums it pays for an employee's life insurance benefit

d. Employers can always deduct the premiums it pays for an employee's life insurance benefit

Answer: B

Life Insurance

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The pro rata liability clause is designed to protect the principle of
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Ambiguities in an insurance policy are always resolved in favor of the
In an insurance contract, the applicant's "consideration" is the
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The voluntary relinquishment of a legal right is called
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What is the benefit of choosing extended term as a nonforfeiture option?
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