Which of the following statements about the differences between Variable Life policies and Endowment policies are FALSE?

The statement that benefits and risks accrue directly to policyowners for both Variable Life policies and Endowment policies is accurate for Variable Life policies, but not necessarily for Endowment policies. In Variable Life policies, the policyowners bear the investment risks and rewards, as the cash value and death benefit can fluctuate based on the performance of investments chosen by the policyowner. However, Endowment policies typically offer a guaranteed payout after a certain period or upon death, meaning the risk is primarily managed by the insurer rather than the policyowner. Thus, the assertion that risks accrue directly to policyowners in the same way for both policy types is misleading, making that statement false.

In contrast, the other statements accurately reflect the distinctions between these policies. Both types do not share performance-based policy values, as Endowment policies are primarily structured to provide a guaranteed benefit, which does not directly tie to market performance. Premiums and benefits are indeed set at the beginning for Endowment policies, while Variable Life policies emphasize investment choices that affect returns. Lastly, Variable Life policies do not guarantee a fixed return, distinguishing them from Endowment policies, which typically assure a certain level of payout.