North Carolina Life Agent Practice Exam 2026 – Comprehensive Test Prep

The most suitable choice for X in this scenario is a Whole Life Policy with an Other Insured Rider. This option allows X to secure permanent life insurance protection for their spouse in the amount of $50,000 while also enabling them to include a term life component for themselves with the $25,000 10-year Term coverage.

Whole Life insurance provides permanent coverage for the life of the insured, along with built-in cash value accumulation. The Other Insured Rider is specifically designed to add coverage for a spouse or dependent, making it an efficient method to get the permanent protection that X desires for their spouse.

This combination effectively meets the need for both permanent and temporary coverage within one cohesive policy structure. Other choices, such as purely Term Life, would not satisfy the need for permanent protection for the spouse, while Universal Life and Variable Life policies, while capable of offering permanent protection, may not be as straightforward for someone primarily seeking to cover spouse's permanent life insurance and a small term amount for themself.