What is the primary characteristic of term insurance that distinguishes it from whole-life insurance?

"Term insurance offers investment opportunities." "Term insurance provides coverage for a predetermined period." "Term insurance accumulates cash value over time." "Term insurance premiums fluctuate based on market performance."

What is a key advantage of term insurance compared to whole-life insurance?

"Higher potential returns on investment" "Guaranteed cash value accumulation" "More comprehensive coverage benefits" "Greater affordability due to a fixed premium"

What factor should be prioritized when determining the amount of term insurance coverage needed?

"Current income level" "Investment portfolio size" "The policy's potential return" "Financial obligations and dependents' needs"

What is a crucial aspect to consider when selecting an insurer for a term insurance plan?

"The insurer's marketing budget" "The insurer's historical performance and customer service" "The insurer's investment portfolio diversity" "The insurer's social media presence"

What is the fundamental purpose of term insurance as a financial product?

"To generate investment income" "To provide retirement savings" "To mitigate the financial risk of premature death" "To cover property damage and liability"