__________ is the accumulated refundable value of an insurance policy; results from the investment earnings on paid-in insurance premiums.
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A. B. C. D.A
The answer to the question is A. Cash value.
Cash value is the accumulated refundable value of an insurance policy. This value results from the investment earnings on paid-in insurance premiums. In other words, as the policyholder makes premium payments, a portion of that payment goes towards the insurance coverage, and the remaining amount is invested by the insurance company. Over time, the investments generate returns, and the policy's cash value grows accordingly.
The cash value is a feature of permanent life insurance policies, such as whole life and universal life insurance. These policies have a cash value component that accumulates over time and can be accessed by the policyholder through a policy loan or withdrawal. The cash value can also be used to pay premiums or be surrendered for its full value, minus any outstanding loans or fees.
It's important to note that the cash value is not the same as the death benefit, which is the amount paid to beneficiaries upon the policyholder's death. The cash value is a supplemental benefit that can provide added financial flexibility during the policyholder's lifetime.
In summary, the cash value is the accumulated refundable value of a permanent life insurance policy that results from investment earnings on paid-in insurance premiums.