The correct answer is: C. Persons with comfort in equity on account of their knowledge
Variable life insurance is a type of permanent life insurance that combines the features of term life insurance and an investment account. The death benefit of a variable life policy is not guaranteed, but instead is linked to the performance of the underlying investments. This means that the potential for higher returns is also accompanied by the risk of higher losses.
As such, variable life policies are most suitable for people who have a high risk tolerance and are comfortable with investing in the stock market. They are also a good option for people who want to build a retirement fund or save for other long-term goals.
Persons with low risk appetite are not likely to buy variable life policies because they are not comfortable with the risk of losing money. Persons who look for predetermined and fixed returns of interest are also not likely to buy variable life policies because the death benefit is not guaranteed. Generally young persons are not likely to buy variable life policies because they are more likely to have a low risk tolerance and are not yet ready to start saving for retirement.