Life Insurance Polices

An individual purchased a $100,000 joint life policy on himself and his wife. Eight years later he died in a car accident. How much would his wife receive from the policy?

$100,000

All of the following could own group life EXCEPT

A group needing low-cost life insurance

Which of the following is true regarding the insurance amount in a credit life policy?

Creditor can only insure the debtor for the amount owed

Which of the following types of insurance policies is most commonly used in credit life insurance

Decreasing term

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

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

Which of the following policies would be classified as a traditional level premium contract?

Straight Life

Which of the following statements about group life is correct?

The cost of coverage is based on the ratio of men and women in the group

An insured purchased a 10-year level term life policy that is guaranteed renewable and convertible. What happens at the end of the 10-year term?

The insured may renew the policy for another 10 years but at a higher premium rate

The policy owner of a Universal Life Policy may skip paying premuim and the policy will not lapse as long as

The policy contains sufficient cash value to cover the cost of insurance

In a survivorship life policy, when does the insurer pay for death benfits

Upon the last death

Which of the following would help prevent a universal life policy from lapsing?

target premium

To sell variable life insurance policies, an agent must receieve all of the following EXCEPT

SEC regisration