Natalie is 49 years of age. She earns $25,000 p.a. in her casual job. She is looking to provide financialsecurity for her family. The premium for her desired level of income protection cover is $1,000 permonth. Explain how she could acquire this insurance within her super fund and the benefits of doing so.

Which of the following statements about the ‘Life Insurance’ section of the lecture material are TRUE:If income protection (or salary continuance) is taken out inside superannuation, it can be cheaper than a similar policy taken outside of superannuation. However, if taken outside of superannuation, the premiums are often tax deductible and there may be less of a problem from losing benefits when transferring between different superannuation funds.Income protection can replace a portion of a person’s income if they have an accident or illness that prevents them from working. After the accident or illness occurs, the person can nominate whether to wait between 14 and 90 days until the benefit starts. They can also decide on a benefit period of between 2 years and all the way until age 65.Question 7AnswerNeither of the statements are true (both are false)Only statement 1 is trueOnly statement 2 is trueBoth statements are true (neither are false)

Matt applies for an income protection policy which has an indemnity value. In his application hereports that his previous year’s salary was $80,000 p.a. His application is approved and he accepts apolicy with a maximum insurance benefit of $5,000 per month. Matt falls ill and is unable to maintainhis work. He is forced to reduce his working hours and as a result his income falls to an average of$70,000 over the year. Eventually, he needs to stop working at which point he makes a claim for aninsurance payout. On what level of income will his claim benefit be calculated and how much will thebenefit be per month

Natasha, who is 37, and her husband Tyrone, who is 42, have been members of a superannuationfund for many years. They have two children under 18 years old. Unfortunately, Tyrone is tragicallykilled in a road accident. The superannuation fund permits death benefits to be paid as a lump sum or asan income stream. Provide your advice to Natasha about the advantages and disadvantages of her takinga lump sum compared to an income stream and the taxation consequences of each option

Samantha purchased a two-year insurance policy for $7,200. The adjusting entry for one month would include a: acredit to Cash, $300 bcredit to Insurance expense, $300 cdebit to Insurance Expense, $300 ddebit to Prepaid Insurance, $300

Insurance: An insurance company sells a 1-year term life insurance policy to an 80-year-old woman. The woman pays a premium of $3300. If she dies within 1 year, the company will pay $54,000 to her beneficiary. According to the U.S. Centers for Disease Control and Prevention, the probability that an 80-year-old woman will be alive 1 year later is 0.9398. Let X be the profit made by the insurance company.Part: 0 / 20 of 2 Parts CompletePart 1 of 2(a) Find the probability distribution.The probability distribution is