The correct answer is B. In a traditional life insurance it is not easy to ascertain the rate of return.
Traditional life insurance policies are designed to provide a death benefit to your beneficiaries in the event of your death. They also typically build cash value over time, which can be used for a variety of purposes, such as retirement income or a lump sum withdrawal.
The rate of return on a traditional life insurance policy is not guaranteed and can vary depending on a number of factors, such as the performance of the underlying investments. This makes it difficult to know exactly what your rate of return will be over the life of the policy.
Options A, C, and D are incorrect.
Option A is incorrect because it is not always easy to know the cash value and savings value components in a traditional plan. The cash value of a traditional life insurance policy is the amount of money that you have accumulated in the policy, minus any outstanding loans. The savings value is the amount of money that you have accumulated in the policy, plus any interest that has been earned. The cash value and savings value components can be difficult to determine, especially if the policy has been in place for many years.
Option C is incorrect because surrender value can be difficult to arrive at in traditional life insurance policies. The surrender value of a traditional life insurance policy is the amount of money that you will receive if you cancel the policy. The surrender value can be difficult to determine, especially if the policy has been in place for many years.
Option D is incorrect because the rate of return is not always high in traditional life insurance policies. The rate of return on a traditional life insurance policy is not guaranteed and can vary depending on a number of factors, such as the performance of the underlying investments.