Leaving funds to the insured's church, school, or a charity is described by which term?

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Multiple Choice

Leaving funds to the insured's church, school, or a charity is described by which term?

A bequest is a gift left to someone else through a will or estate plan after the person dies. When the gift goes to a church, school, or charity, it’s specifically a charitable bequest. This term describes the act of designating funds to these organizations in a will, trust, or other estate arrangement. The other terms don’t fit what’s described here: a life settlement involves selling a life insurance policy to a third party for cash; education funds refer to accounts set up to pay for education, like a 529 plan; debt cancellation means forgiving a debt, not leaving funds to a recipient. So the description matches bequest.

A bequest is a gift left to someone else through a will or estate plan after the person dies. When the gift goes to a church, school, or charity, it’s specifically a charitable bequest. This term describes the act of designating funds to these organizations in a will, trust, or other estate arrangement.

The other terms don’t fit what’s described here: a life settlement involves selling a life insurance policy to a third party for cash; education funds refer to accounts set up to pay for education, like a 529 plan; debt cancellation means forgiving a debt, not leaving funds to a recipient. So the description matches bequest.

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