What line(s) on the K-1 were the income reported on?

What I received is a grantor letter with instructions on where to input the income on Schedule E.  I have ordinary income to be reported on line 3 (although on a separate instruction sheet it says to input it on line 4, but the program didn't like it on line 4). There were expenses on lines 10 and 13.  There were also small interest and dividend incomes for schedule B. The income shows up as passive on the worksheet. The income is not subject to self-employment, and the type of activity is "8", other portfolio income.

What kind of income is it?  rental?  royalties?

Income from life insurance settlements.  The company bought life insurance policies and paid life insurance premiums, and when the policies matured (the person dies), then the company receives the payout from the life insurance company.

I tried several times to get the "materially participate" screen to pop up, and it finally did. Thanks.