Answer Happy

QUESTION 32 Which of the following statements concerning the characteristics of disability income insurance is (are) correct? 1. A residual benefits clause preserves the purchasing power of the insured's disability income benefits II. For a policy with a cost of living rider, an adjustment is made for each year of benefits paid to the insured and is calculated by using the same rate of change as, say, the Consumer Price Index O 1 only O 2 only O Both 1 and 2 O Neither 1 nor 2