Abstract
The notion that level premium life insurance consists of increasing savings and decreasing protection has become so universally accepted that it is rarely questioned. Opinion about the relative merits of life insurance is likely to influence only the way the idea is used. Critics are likely to emphasize the low rate of return on life insurance savings relative to other investments. Advocates are likely to emphasize the favorable tax treatment given life insurance savings and the benefits of establishing a regular program of thrift. Savings accumulations are a critical component of a widely used life insurance cost measure, the interest adjusted surrender cost index. The belief that the contract has two separable parts is so widely held partly because of its strong rooting in tradition. In an early life insurance text, S.S. Huebner refers to
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call
