Ch 12: Variable Life Insurance & Annuity Contracts

About This Chapter

Strengthen your knowledge of variable life insurance and annuity contracts, including FINRA Rule 2320, valuating variable annuity contracts, and more. If you are preparing for an exam, these lessons and quizzes can increase your confidence by testing your knowledge of topics covered in advance.

Variable Life Insurance & Annuity Contracts - Chapter Summary

There's a wealth of information provided in this chapter on variable life insurance and annuity contracts. You can study lessons on how variable annuities are purchased and how separate accounts are managed. A professional instructor also reviews how annuities compare to other kinds of investment accounts. By the end of the chapter, you should be prepared to:

  • Explain the pros and cons of variable annuities
  • Recount features of variable life insurance
  • Outline the purpose of a separate account
  • Discuss valuation of a variable annuity contract
  • Recall the process of exchanging variable annuities
  • Explain the link between actual rate of return and assumed interest rate
  • Provide an overview of FINRA Rule 2320
  • Define annuitization

Knowledgeable educators have developed lessons on variable life insurance and annuity contracts that are easy to comprehend. There are many features available on our platform that make the process of learning easier, such as the short quizzes that accompany each lesson to make sure you grasp and can recall the concepts covered. For convenience, you can study this chapter on your desktop computer or mobile device.

6 Lessons in Chapter 12: Variable Life Insurance & Annuity Contracts
Test your knowledge with a 30-question chapter practice test
What is a Variable Annuity? - Definition, Pros & Cons

1. What is a Variable Annuity? - Definition, Pros & Cons

In this lesson we will look at how variable annuities serve as an option for retirement investing. We will also go over some of the key pros and cons of annuities compared to other types of investment accounts.

Characteristics of Variable Life Insurance & Annuity Contracts

2. Characteristics of Variable Life Insurance & Annuity Contracts

During this lesson, we will review the characteristics of variable life insurance and annuity contracts. There will be a short quiz following the lesson.

Separate Accounts: Definition, Purpose & Management

3. Separate Accounts: Definition, Purpose & Management

During this lesson, we'll take an in depth look at the separate account component of variable annuities. After completing this lesson, you'll be able to identify the many features of the separate account.

Valuating Variable Annuity Contracts

4. Valuating Variable Annuity Contracts

Variable annuities are an attractive option for investors hoping to maximize their growth potential before retirement. During this lesson, we will review how the value of these contracts is determined.

What is Annuitization? - Definition & Overview

5. What is Annuitization? - Definition & Overview

Annuities are purchased frequently by individual people and investors as a means to ensure a future steady stream of income. Annuities are sold by most insurance companies.

FINRA Rule 2320: Variable Contracts of an Insurance Company

6. FINRA Rule 2320: Variable Contracts of an Insurance Company

The Financial Industry Regulatory Authority (FINRA) is responsible for regulating the activities of all U.S. investment broker/dealers. In Rule 2320, FINRA discusses the sale of variable insurance contracts.

Chapter Practice Exam
Test your knowledge of this chapter with a 30 question practice chapter exam.
Not Taken
Practice Final Exam
Test your knowledge of the entire course with a 50 question practice final exam.
Not Taken

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