Asked by Clayton Kinzel on Jul 25, 2024
Verified
Faith owes $50,000 to Investment Lenders,Inc. ,a partnership of Cindy and Ryan.She is also a partner with Tom in a business venture.What insurable interests exist in this situation?
A) Faith has an insurable interest in the lives of Cindy and Ryan.
B) Investment Lenders,Inc.has an insurable interest in Tom,but does not have an insurable interest in Faith.
C) Only Tom and Faith have insurable interests.
D) Tom and Faith have insurable interests in each other's lives and Investment Lenders,Inc.has an insurable interest in Faith.
Insurable Interests
A legal requirement indicating that a person must have a legitimate stake in the safety or preservation of an item or life to insure it.
Investment Lenders
Professionals or institutions that provide capital to companies, individuals, or investors in exchange for interest payments and repayment of the principal at a future date.
Business Venture
An entrepreneurial enterprise or company with the aim to operate for profit by offering goods or services.
- Recognize lawful and insurable stakes concerning life insurance beneficiaries.
Verified Answer
Learning Objectives
- Recognize lawful and insurable stakes concerning life insurance beneficiaries.
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