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Which of the following best describes term life insurance?

AThe insured pays the premium until his or her death.
BThe insured can borrow or collect the cash value of the policy.
CThe insured is covered during his or her entire lifetime.
DThe insured pays a premium for a specified number of years.

Verified Answer :

"D. The insured pays a premium for a specified number of years." would be the best option from the list, since this refers to life insurance that is paid out at set rates and intervals, instead of varying. 

I believe the answer is: D. The insured pays a premium for a specified number of years.

The number of years tend to be specified because most insurance companies have maximum entry age for life insurance in order to prevent potential loss. Very few insurance companies willing to provide life insurance for those who are older than 60 years old.

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