Life Insurance Policies
Which of the following best describes annually renewable term insurance?
It is level term insurance
A policyowner of a universal life insurance policy must receive a policy status report from the insurer at least
Annually
An employee quits his job and converts his group policy to an individual policy; the premium for the individual policy will be based on his
Attained age
What is another name for interest-sensitive whole life insurance?
Current Assumption Life
Under a 20-pay whole life policy, in order for the policy to pay the death benefit to a beneficiary, the premiums must be paid
For 20 years or until death, whichever occurs first.
Annually renewable term policies provide a level death benefit for a premium that
Increases annually
Your client wants both protection and savings from the insurance, and is willing to pay premiums until retirement at age 65. What would be the right policy for this client?
Limited pay whole life
What type of whole life insurance policy has premiums that are adjusted so that during the first years of the policy, the premiums are lower than those of a straight whole life policy, and in subsequent years the premiums are higher than those of a straight whole life policy?
Modified life
Which Universal Life option has a gradually increasing cash value and a level death benefit?
Option A
A man decided to purchase a $100,000 Annually Renewable Term Life policy to provide additional protection until his children finished college. He discovered that his policy
Required a premium increase each renewal.
To sell variable life insurance policies, an agent must receive all of the following EXCEPT
SEC registration
Which of the following are generally NOT considered when underwriting group insurance?
The insureds' medical history
An employee quits his job on May 15 and doesn't convert his Group Life policy to an individual policy for 2 weeks. He dies in a freak accident on June 1. Which of the following statements best describes what will happen?
The insurer will pay the full death benefit from the group policy to the beneficiary.
In an Adjustable Life Policy all of the following can be changed by the policy owner EXCEPT
Type of investment
