Which of the following is true about life insurance within a retirement plan?
1) The retirement plan must be a qualified plan.
2) The types of insurance policies that may be used are whole life, universal life, variable life, and term.
3) The employee owns the insurance plan and his/her beneficiaries are paid the death benefit.
4) If the employee dies while in the plan, his estate will pay income tax on the policy cash value minus the basis.