WFG

The value of the account on the date of cancellation

If a person returns a variable annuity invested in mutual funds during the free look, what return will they receive?

Assign the policy

If the owner of the policy has named an irrevocable beneficiary, which of the following can the owner not do without the beneficiary's consent

Cash

If there is not a settlement option selected when the insured dies, which of the following will automatically apply?

An implied warranty

In an insurance contract, a representation qualifies as which of the following

Policy reserves

In determining rates for life insurance, which of the following is not used

At time of policy inception

Insurable interest in a life insurance policy must exist

mutual insurer

An insurer owned by policyholders is known as a

Risk Selection

An insurer's underwriting department is responsible for

$100,000

A $100,000 whole life insurance policy with a cash value of $10,500 lapses and the insured selects the extended term nonforfeiture option. What is the face amount of the new policy

$20,000 whole life, paid up for life

A 40 year old client who has been insured on a $50,000 whole life policy for the last 10 years can no longer afford to pay his premium. If the policy has a current cash value of $11,000 and the client elects to take the reduced paid up nonforfeiture option he will have a new policy for

Variable life

A life insurance policy which will allow the insured to self direct the cash value into different subaccounts is

A Broker

A person who, on behalf of another person, transacts insurance with an insureris

That issues the new policy

A replacing insurer is the company

Accidental death and dismemberment

All of the following are classified as life insurance except

A representation may be altered or withdrawn before or after policy issued

All of the following are true about representations made by an applicant on an application for insurance except

The conditional receipt creates immediate coverage and a binding receipt does not

All of the following are true about the difference between a conditional receipt and bind receipt except

It covers the insolvency of all insurers

All of the following are true about the state guarantee fund except

Once made, a representation may never be altered or withdrawn

All of the following are true regarding "representations" except

Annuity death benefits are not taxable

All of the following are true regarding life insurance taxation except

Variable annuity

An annuity funded by a separate account in which the annuitant purchases accumulation units is called a

Equity indexed annuity

An annuity that has a fixed guaranteed minimum rate of return has an excess rate of return which could also keep up with the performance of the stock market is known as a(n)

$375

An applicant for life insurance is told that his coverage will cost $5 per unit per year based upon his present age, health and hobbies. If he or she buys a policy with a face amount of $75,000, his or her annual premium will be

A misdemeanor

An individual acting in a manner requiring a license without having a license is guilty of which of the following.

Prior to the insurance going into effect only

At what point in time may a representation be altered or withdrawn?

Cost basis is returned tax free

How is cash surrender from a life insurance policy taxed?

An individual who has the right to receive policy proceeds if the insured dies when there is no surviving primary beneficiary

Choose the best description of a contingent beneficiary from the following choices.

Semiannual costs more than annual

Concerning the mode of insurance premium payment

Marissa will receive monthly payments for life, but will only have a beneficiary for the first 10 years

Marissa has been paying into her annuity for the last 20 years. She is ready to begin receiving monthly income. When she annuitizes, she chooses to have a 10 year period certain. Which of the following accurately describes this payout choice.

At least 120 months regardless of when he dies

Matt would like to begin collecting payments from his tax-deferred annuity. If he elects the life income with 10 year period certain option, the insurer will make payments for how long?

Double Indemnity

Te accidental death benefit rider is also known as

Converting from group to individual

The conversion privilege allows which of the following to occur

The underwriting department

The department within an insurance company that is responsible for the evaluation, distribution and selection of risks is known as

Exclusion ratio

The formula that is used to determine how much is taxable during the payout is the

On his own life, at a certain specified ages, without proof of insurability

The guaranteed insurability rider provides that the policyholder can purchase more insurance

Interpret policy provisions

The primary purposes of state insurance regulation include all of the following except

Speculative risk

The probability of loss or gain is

Variable annuity

an individual purchased an annuity 15 years ago and plans on retiring in 4 years. In order to determine the value of the annuity, he or she must multiply the number accumulation units by the value of an accumulation unit in the separate account. What type of annuity is thi

10 days

What is the minimum free look period for newly issued life insurance policies in this state

Time value of money

What is the primary difference between using the interest-adjusted net cost method and the net cost method when evaluating the true cost of a life insurance policy?

If the children are covered using permanent insurance, evidence of insurability is required.

When a family policy is issued and children are covered, all of the following statements are true except

The policy remains in full effect.

When the waiver of premium rider is active, which of the following is true?

Marketing

Which major operating division of an insurer is responsible for sales?

Grace period, reinstatement, and entire contract

Which of the following are common policy provisions

Insurable interest

Which of the following best illustrates the principle of indemnity

Whole life

Which of the following is a form of ordinary life insurance

Life income

Which of the following is not a dividend option available on a whole life policy

The rider causes the policy limit to increase, but the premium increases as well.

Which of the following is true if the cost of living rider is attached to a life insurance policy?

Joint life

Which of the following policies pays a death benefit when the first insured person dies?

Survivorship life

Which of the following policies pays a death benefit when the second insured person dies

Preferred

Which of the following risk categories would result in the lowest premium being charged

Mortality tables

Which of the following shows the annual probability of death

10 year level term

Which of the following types of life insurance policy has no cash value

Variable annuity

Which type of annuity utilizes a separate account?

Traditional whole life

Which type of life insurance utilizes the level premium concept?

Variable life

Which types of life insurance utilizes a separate account

The Insurer

Who is responsible for filing an agent's appointment?

Agent and applicant

Who signs a policy illustration?