Life Insurance Review Test Day 2

The cash value in the policy

All of the following are consideration in an insurance policy EXCEPT

Currently insured

An employee dies having 6 quarters of coverage during the previous 13-quarter period. What status of coverage does the employee have under social security?

$2,500

If an individual violates provision of the Fair Credit Reporting Act, what is the maximum penalty?

Nonforfeiture Values

Cash values guarantees in a whole life policy are called

cash surrender values

In a variable life insurance policy, all of the following assets are held in the insurance company's general account EXCEPT

Without evidence of insurability

The renewal provision allows the policyowner to renew the coverage at the expiration date

Interest Sensitive Whole Life

An insured purchased a Life insurance policy. The agent told him that depending upon the company's investments and expense factors, the cash values could change from those shown in the policy at issue time. The policy is an

Equal to the original policy for as long as the cash values will purchase

When the insure selects the extended term nonforfeiture option, the cash value will be used to purchase term insurance with what face amount?

It remains the same no matter how many children are added to the policy

Which of the following is true about the premium on the children's rider in a life insurance policy?

3 days

An insurer must notify the consumer in writing that an investigative consumer report has been requested, within how many days of the initial review

Next year's premium

The reduction of premium option uses the dividend to reduce

Insuring clause

Which of the following policy components contains the company's promise to pay?

Joint Life

What is the most common name for a single policy that is designed to insure two or more lives

Extended Term

When a whole life policy is surrendered for its nonforfeiture value, what is the automatic option?

Prior to the performance of the test

If an insurance company uses HIV testing as a part of its underwriting, when must an applicant be notified of the procedure?

The same face amount as in the whole life policy

Under an extended term nonforfeiture option, the policy cash value is converted to