Long Term Care Certification Practice Test 2026 – Complete Exam Prep

Question: 1 / 400

What type of policy premium is guaranteed for the life of the policy?

Variable premium

Flexible premium

Level premium

A level premium policy is designed to keep the premium amount consistent throughout the life of the policy. This means that the policyholder pays the same amount in premiums year after year, regardless of changes in age or health, as long as the policy remains active. This stability can aid in budgeting for both the policyholder and the insurer, often making it an attractive option for long-term planning.

In contrast, variable premiums can fluctuate based on investment performance and other factors, while flexible and adjustable premiums allow for modifications depending on the policyholder’s needs or financial situation. These types of premiums do not guarantee a fixed amount over the policy's lifetime, which makes the level premium distinctive for its reliability and predictability.

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Adjustable premium

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