Life insurance exam

if an individual licensees violation of the insurance code was known or should've been known by one or more of the partners, officers, or managers of the agency, what could happen to the agency

all of the above

what characteristics makes whole life permanent protection

coverage until death or age 100

which of the following is not a mandatory policy provision in life insurance policies issued in this state

misstatement of age

the Policyowner of an adjustable life policy wants to increase the death benefit. which of the following statements is correct regarding this change

the death benefit can be increased by providing evidence of insurability

which of the following is incorrect concerning a noncontributory group plan

the employees receive individual policies

a father owns a life insurance policy on his 15 year old daughter. the policy contains the optional payor benefit rider. if the father becomes disabled, what will happen to the life insurance premiums

the insureds premiums will be waived until she is 21

which of the following determines the cash value of a variable life policy

the performance of the policy portfolio

a temporary insurance license may be issued without examination in all of the following instances except

to an applicant who fails to pass an insurance producers exam

if an immediate annuity is purchased with the face amount at death or with the cash value at surrender, this would be considered a

settlement option

a producer is helping a married couple determine the financial needs of their children in the event one or both should die prematurely. this is a personal use of life insurance known as

survivor protection

all of the following would be different between qualified and non qualified except

taxation on accumulation

a corporation is the owner and beneficiary of the key person life policy. if the corporation collects the policy benefit then

the benefit is received tax free

As a condition for renewal of their licenses, how many hours of continuing education are required for all resident and nonresident insurance producers?

24

A producer intentionally violated insurance statutes. Ultimately, the Commissioner determined there were a total of 25 separate violations. What is the total, monetary penalty this producer can expect to receive?

250,000

Who is a third-party owner?

A policyowner who is not the insured

which of the following may obtain a producers license, but may not sell, solicit, or negotiate a contract of insurance in TN

a business entity

which of the following would be required to complete relicensing education

a nonresident insurance producer who is planning to transact property insurance

An insurance producer is BEST defined as

a person licensed to sell insurance

The two types of assignments are

absolute and collateral

which statement best defines an insurance producer

an individual who has a contract or agreement with an insurer to solicit or negotiate insurance policies on behalf of that insurer

which statement best defines an insurance producer

an individual who has a contract or agreement with an insurer to solicit or negotiate insurance policies on behalf of the insurer

assuming that a policy does not contain an unconditional refund provision of at least 10 days, when must a buyers guide and policy summary be provided

before accepting the initial premium

which of the following is a feature of a variable annuity

benefit payment amounts are not guaranteed

an individual is purchasing a permanent life insurance policy with a face value of 25,000. while this is all the insurance that he can afford at this time, he wants to be sure that additional coverage will be available in the future. which of the following options should be included in the policy

guaranteed insurability

A participating insurance policy may do which of the following?

pay dividends to the policy owner

under which of the following circumstances would an insurer pay accelerated benefits

an insured is diagnosed with cancer and needs help paying for her medical treatment

a banker is ready to close on a customer loan. the bank is prepared to offer the loan but only if the customer purchases a life insurance policy from the bank in the amount of the loan. this is an example of

coercion

which rider, when attached to a permanent life insurance policy, provides an amount of insurance on every family member

family term rider

which of the following is an example of an agents fiduciary responsibilities

forwarding premiums to the insurer

Which life insurance settlement option guarantees payments for the lifetime of the recipient, but also specifies a guaranteed period, during which, if the original recipient dies, the payments will continue to a designated beneficiary?

life income with period certain

what is the term for how frequently a Policyowner is required to pay the policy premium

mode

a rider attached to a life insurance policy that provides coverage on the insureds family members is called the

other insured rider

which option is being utilized when the insurer accumulates dividends at interest and then uses the accumulated dividends, plus interest and the policy cash value to pay the policy up early?

paid- up option

which option is being utilized when the insurer accumulates dividends at interest and then uses the accumulated dividends, plus interest, and the policy cash value to pay the policy up early

paid-up-option

an insured has a life insurance policy from a participating company and receives quarterly dividends. he has instructed the company to apply the policy dividends to increase the death benefit. The dividends option that the insured has chosen is called

paid-up-options

An insured has had a life insurance policy that he purchased 3 years ago when he was 40 years old. He is killed in an automobile accident and it is discovered that he is actually 45 years old, and not 43, as stated on the application. What will the company do?

pay a reduced death benefit

which of the following is another term for the accumulated period of an annuity

pay in period

all of the following are characteristics of group life insurance except

premiums are determined by the age, sex and occupation of each individual certificate holder

Insurance is the transfer of

risk

which of the following types of policies allows the policy owner to skip premium payments provided that is enough cash value in the policy to cover the premium act

universal life

which type of life insurance policy allows the Policyowner to pay more or less than the planned premium

universal life

how many accounts must the Tennessee life and health insurance guaranty Association maintain

3 accounts: life insurance, annuities, and health insurance

an insured owns a 50000 whole life policy. At age 47, the insured decides to cancel his policy and exercise the extended term option for the policy's cash value, which is currently 20,000. what would be the face amount of the new term policy

50,000

The proposed insured makes the premium payment on a new insurance policy. if the insured should die the insurer will pay the death benefit to the beneficiary if the policy is approved. this is an example of what kind of contract

conditional

which of the following reports will provide the underwriter with the information about an insurance applicants credit?

consumer report

an insurer receives a report regarding a potential insured that includes the insureds financial status, hobbies and habits. what type of report is that

inspection report

which of the following statements regarding HIV testing for insurance purposes is not true

insurers are barred from requesting HIV testing

an insured has a continuous premium whole life policy.she would like to use the policy dividends to pay off her policy sooner than would have been possible otherwise. what dividend option could she use?

paid-up option

an insurance policy that only requires a payment of premium at its inception, provides insurance protection for the life of the insured and matures at the insureds age 100 is called

single premium whole life

what does level refer to in level term insurance

Face amount

which of the following includes information regarding a persons credit, character, reputation, and habits

consumer report

which of the following policy components contains the companies promise to pay

insuring clause

which of the following activities is not preformed by an insurance producer

issuing the policy

a rider attached to a life insurance policy that provides coverage on the insureds family member is called the

other-insured rider

Which two terms are associated directly with the way an annuity is funded?

single payment or periodic payment

the presidents of a company is starting an annuity and decides that his corporation will be annuitant.which of the following statements is true

the annuitant must be a natural person

the responsibility of making certain that an application for insurance is filled out completely, correctly, and to the best of his or her knowledge is the responsibility of whom

the producer

which of the following is not true of life settlement

the seller must be terminally ill