Lear as you go! Part 2

Any licensed person who's activities affect interstate commerce, and who knowingly makes false material statements related to the business of Insurance may be imprisoned for up to

10 years

Which of the following would be considered an unfair claims settlement practice

A claims adjuster advises the insured that if the claim goes to arbitration, the insured would probably receive less than what is currently being offered

When Jay applied for a life insurance policy, the agent informed him that a medical exam would be required. The exam may be completed by.

A paramedic or examining physician at the insurance expense

The term illustration in a life insurance policy refers to

A presentation of nonguaranteed elements of a policy.

What documentation grants Xpress authority to an agent

Agents contract with the principal

Which of the following applicants could the insured charge a higher rate of premium and not violate regulations regarding unfair discrimination?

An applicant who is a smoker

Which of the following provisions in annuity contracts allow the owner to surrender the annuity, if interest rates dropped to a specified level

Bail-out

The life and disability insurance guaranty association, maintains funds in all the following types of accounts, except

Casualty insurance

What term best describes the active withholding material information that would be crucial to an underwriting decision

Concealment

Which of the following is not a term for the period of time during which the annuitant or the beneficiary receives income?

Depreciation period

Which of the following is true regarding taxation of dividends in participating policies

Dividends are not taxable.

The provision which states that both policy and a copy of the application form the contract between the Policyowner in the insurer is called the

Entire Contract

And insured receives a report regarding a potential insured that includes the insured's, financial status, hobbies, and habits. What type of report is that?

Inspection report

All life insurance, and all disability insurance in connection with loans or other credit transactions is subject to the provisions of

Insurance code

Which statement regarding insurable risk is not correct

Insureds cannot be randomly selected

Which of the following is true regarding the accumulation period of an annuity

It is a period during which the payments into the annuity grow tax deferred.

When a reduced paid up, nonforfeiture option is chosen, what happens to the face amount of the policy

It is reduced to the amount of what the cash value would buy as a single premium

When a whole life policy, lapses or surrendered prior to maturity, the cash value can be used to

Purchase a single premium policy for a reduced face amount

Which type of insurance is based on mutual agreement among subscribers

Reciprocal insurance

Upon policy delivery, the producer may be required to obtain any of the following, except

Signed waiver of premium

The national do not call registry was created to regulate

Telemarketers

Replacement rules do not apply and all of the following situations, except

The existing life insurance is a nonconvertible term policy with less than 10 years to expire.

Which of the following best defines the owner as it pertains to life settlement contracts

The policyowner of the life insurance policy

If there is a criminal prosecution, taken against a producer in another jurisdiction, when was the producer report that to the Director

Within 30 days of the initial pretrial hearing date

When doing business in the state, and insurance company that is formed under the laws of another state is known, as which type of insurer

foreign

In a life settlement contract, whom does the life settlement broker represent

owner

And insured committed suicide one year after his life insurance policy was issued. The insurer will.

refund the premiums paid