What is the futuer markets?
Answers: The futures market is a market where people buy and sell contracts for the delivery of some tangible product in the future. For example, you are a miller and you have an order for 5 tons of corn meal six months from now. You will need 5 tons of corn to grind into corn meal, but you are afraid that the price will rise in six months. So you buy a contract to have corn delivered to you at today's price in six months. Instead of paying for the corn now, you pay only 5 percent of the price for the contract. Six months later the price of corn is much higher, but you will receive delivery at the price in the contract.
If you are a speculator, you may have bought that same contract but you don't want to receive the corn. So before the contract expires, you sell it at a profit. It is more valuable because the price of corn has gone up. If the price had gone down you would sell your contract at a loss.
Futures contracts are traded on all sorts of commodities, such as wheat, gold, copper, and soybeans, as well as on shares of stocks.
LIC Premium slow return?
I have delayed my LIC premium 2 month and will it lift any problems to me if I pay next to fine now?Also am I eligible to earnings with fine generally if delayed 2 months?
I am paying in once a year mode and the delay of two month is expiring the 1 month grace interval for yearly premium payers.
Answers: If you call on the LIC office and wage the premium with any fines (try to bargain to manager to waive the fines, they will do it if this is your first overdue payment). Once you pay your premium you would not own any issues with your policy.
With _______ insurance, the insured agrees to settle a specific premium respectively year until extermination.?
With _______ insurance, the insured agrees to pay a specific premium respectively year until death.A. endowment life span
B. half duration
C. whole-life
D. limited-payment
Answers: The answer is C, but its not really accurate. BTW, I am licensed to deal within insurance in Virginia.
The motivation it isnt accurate is that insurance is a contract just resembling any other contract. It has expressions and conditions just close to any other contract.
The person to be insured select the options they want to hold and once they have special all their choices afterwards the information gets sent to an insurance actuary.
This individual looks at dozens of factors and uses complex formulas to determine at what payments the insurance company will profit surrounded by the average case. This requires calculating prospect of premature death and how smoking and such things factor contained by.
Once the actuary comes up with a number consequently they send that number rear to the person to be insured by style of the agent. This number is the bid the insurance company will accept for that human being at that time under those expressions and conditions. This is a take it or start out it offer.
That mortal said, in a whole-life contract, abstractly you will be paying on it for your whole vivacity and that payment will never increase. Unlike occupancy, its not for a specified unit of time - such as 10 years and after its over. In term the insurance company will increase the cost every time on renewal and eventually you will be uninsurable.
Whole life span insurance pays out dividends like stocks do, my company pays out 6.25% as a multi year average rate. These dividends can be used to do a few things, one of those things is increasing the payments received on death, and another is to use the dividend to earnings for the cost of the policy itself.
If someone chooses option 1 later the cash expediency will increase more quickly and build dividends more without delay and it works as you would expect from annually compounded interest. You can modify the contract later to use the dividends to rate off the cost of the policy.
Using selection 2, the dividends immediately move about to reducing the payments, and starting from year 1 or 2 you get an ever decreasing insurance bill from the insurer.
Using preference 1 its entirely possible that you can get something approaching 100,000 of whole go coverage on a 1 month old little one for a one time payment of $6,000. In this shield, you never have to wages again even though it is whole life span. The payment you made is plenty to cover the policy until the interest on the cash utility is enough to get the minimum payments on the policy.
I would say its usually the defence that people single pay on these policies for 10 or 15 years max up to that time allowing it to be self sustaining from that point on, which is a far cry from paying until you die.
Technically you still are paying, but they payments are directly from the insurance company to the same insurance company and are for the most sector invisible.
Anyway, I hope that goes beyond answering the interview and helps you take to mean fundamentally what you are dealing with.
Raiddinn
C. whole-life.
Many policies are call whole-life but are limited surrounded by age. The common age is 95.