Pass Now Life Insurance Exam Simulators

An insured owns a $50,000 whole life policy. At age 47 the insured decides to cancel his policy and exercise the extended term option for the policies cash value which is currently $20,000. What would be the face amount of the new term policy?

$50,000

If a customer request additional information concerning and investigate consumer report, how long does the insurer or reporting agency have to comply?

5 days

To attain currently insured status on the Social Security working must have earned at least how many credits during the last 13 quarters?

6 credits

Which of the following is true about the 10 day free look. And the life insurance policy?

A begins when the policy is delivered.

Who is a third-party owner?

A policy owner who is not in the insured

Level term insurance provides a level death benefit and a level premium during the policy term. If the policy renews at the end of a specified period of time, the policy premium will be

Adjusted to the insured's age at the time of renewal

All of the following are examples of third-party ownership of a life insurance policy except

And insured borrows money from the bank and makes a collateral Assignment of a part of the death benefit to secure the loan

And Asher wants to begin on the writing procedures for an applicant. What source for a consult for the majority of its underwriting information?

Application

Because an insurance policy is a legal contract, it must confirm to the state laws governing contracts which requires all of the following elements EXPECT

Conditions

According to the entire contract provision, what document must be made part of the insurance policy?

Copy of the original application

And individual has just borrow $10,000 for his bank on a five-year installment loan requiring monthly payments. What type of life insurance policy would be best suited to the situation

Decreasing term

The provision which states that both the policy and a copy of the application Form the contract between the policy owner and the insurer is called the?

Entire Contract

Which nonforfeiture option has the highest amount of insurance protection?

Extended term

What do individuals used to transfer the risk of loss to a larger group?

Insurance

And insured purchased a life insurance policy. The agent told him that depending upon the companies investments and expense factors, the cash values could change from those shown in the policy at yes your time. The policy is a/an

Interest sensitive whole life

Twin brothers are starting a new business. They know it will take several years to build a business to the point that they can pay off the debt incurred in starting the business. What type of insurance would be the most affordable and still provide a death benefit if one of them die

Joint life

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

Life income with period Certain

What describes the specific information about a policy?

Policy summary

A couple owns a life insurance policy with a children's term rider. Their daughter is reaching the maximum age of dependent coverage so she will have to convert to permanent insurance in the near future. Which of the following will she need to provide for proof of insurability?

Proof of insurability is not required,

Which nonforfeiture option provides coverage for the longest period of time?

Reduced Paid-Up

The policy owner pays for her life insurance annually. Until now, she has collected a nontaxable dividend check each year. She has decided that she would rather use the dividends to help pay for her next premium. What option would allow her to do this?

Reduction of Premium

Which is the appropriate action but it sure if a prospective are you sure it's submitted an incomplete application?

Return the application to the applicant for completion

Insurance is the transfer of?

Risk

Which two terms are associate it directly with the way and annuity is funded?

Single payment or periodic Payments

Which of the following statements about a suicide clause And a life insurance policy is true?

Suicide is excluded for a specific period of years and covered thereafter.

Which of the following would qualify as a competent Party in insurance contract?

The applicant has a prior felony conviction

And employee is insured under her employees group life plan. Is she terminates her group coverage, which of the following statements is incorrect?

The insurance may choose to convert term or permanent individual coverage,

All of the following are general requirements of a qualified plan except

The plan must provide an offset for social security benefits.

All of the following are true regarding the guaranteed insurability rider except

This rider is available to all insureds with no additional premium.

Which of the following employees insured under a group life plan would be allowed to come for the individual insurance of the same coverage what's the plan is terminated?

Those who have been insured under the plan for at least 5 years

Social Security was created to provide all of the following benefits EXCEPT

Unemployment income