Life Insurance chp 4

¡Supera tus tareas y exámenes ahora con Quizwiz!

A primary beneficiary has died before the insured in a life insurance policy. A contingent beneficiary is also named in the policy. Which of the following will occur when the insured dies?

Proceeds will go to the contingent beneficiary

T is covered by an Accidental Death and Dismemberment (AD&D) policy that has an irrevocable beneficiary. What action will the insurance company take if T requests a change of beneficiary?

Request of the change will be refused

C is trying to determine whether to convert her convertible term life policy to whole life insurance using her original age or attained age. What factor would affect her decision the most?

The cost

Which premium schedule results in the lowest cost to the policyowner?

annual

Which statement regarding the Change of Beneficiary provision is true?

The policyowner can change the beneficiary

The Common Disaster clause provides that if both the insured and the sole named beneficiary were to die in a common accident, which of the following is true?

This clause provides the payment of proceeds to the insured's estate

A level premium indicates

the premium is fixed for the entire duration of the contract

Which of the following best describes a contingent beneficiary?

Person designated by the insured to receive policy proceeds in the event that the primary beneficiary dies before the insured

Which type of life insurance beneficiary requires his/her consent when a change of beneficiary is attempted by the policyowner?

Irrevocable beneficiary

K is the insured and P is the sole beneficiary on a life insurance policy. Both are involved in a fatal accident where K dies before P. Under the Common Disaster provision, which of these statements is true?

Proceeds will be payable to K's estate if P dies within a specified time

A policyowner's rights are limited under which beneficiary designation?

irrevocable

If the insured and primary beneficiary are both killed in the same accident and it cannot be determined who died first, where are the death proceeds to be directed under the Uniform Simultaneous Death Act?

Insured's contingent beneficiary

A policyowner would like to change the beneficiary on a Life insurance policy and make the change permanent. Which type of designation would fulfill this need?

Irrevocable

P and Q are married and have three children. P is the primary beneficiary on Q's Accidental Death and Dismemberment (AD&D) policy and Q's sister R is the contingent beneficiary. P, Q, and R are involved in a car accident and Q and R are killed instantly. The Accidental Death benefits will be paid to

P only

J would like to maintain the right to change beneficiaries. Which beneficiary designation should be used?

Revocable


Conjuntos de estudio relacionados

L201 April Sellers FInal Exam ( Fall 2022)

View Set

Business Management Exam #2, Chapter 8

View Set

Gas Exchange and Transport questions 1-20 94- 106

View Set

Abeka 9th grade English reading quiz O

View Set

Clinical Assessment Skin up to Bates Table 6-5

View Set

Auditing; chapter 12 Inventory and cost of good sold

View Set