Frequently missed

Which of the following statements concerning buy-sell agreements is true Pay in the event of medical emergency Normally funded with a life insurance policy Premiums are paid dedecutible as a busienss expense

B

Which of the following will be included in a policy summary Policy amounts and surrender values Copies of illustrations and application Primary and secondary beneficiary

Premium amounts and surrender values

All of the following are requirements for life insurance illustrations except Must identify nongrusnteed values They must be differentiate between guaranteed and projected amount Must be part of the contract

C

All of the following would be different between qualified and non qualified plans except Taxation of withdrawal Taxation of contributions Taxation on accumulation

C

Group life insurance is a single policy written to provide coverage to member of a group which of the following is correc A) Coverage cannnot be converted wwhen one person leaves B) premiums are determined by age gender and occupation of each individual C) 100% participation of member is required in non contributory plans

C

When a policy is replaced, replacing insurers must maintain a replacement register regarding policy for 5 years 8 years 3 years

C

Which of the following entities is responsible for determining whether an advertisement might mislead Consumer privacy agency Guaranty association Commisioner

C

Which part of an insurance application would contain information regarding the cause of death of the applicants deceased relatives A) inspection report B) agents report C) medical info

C

What does "level" refer to in level term insurance? A) interests rate B)face amount C) premium

Face amount

The dividend option in which the policyowner uses dividends to purchase a term policy for one year is referred to as the Paid up option One year term option Paid up additions

One-year term option.

All of the following are duties and responsibilities of producers at the time of application except A) change any incorrect statement on the application B) explain the nature and type of any receipt the producer is giving C) Probe behind the stated questions if the producer feels the applicant is lying

A

The death protection component of Universal Life Insurance is always Whole life Adjustable life Annually renewable term

Annually renewable term

All of the following are busiensss uses of life insurance except A) funding busienss continuation agreements B) finding against company general financial loss C). Compensating executives

B

The interest earned on policy dividends is 40% taxable Taxable Non taxable

B

Which is not true of beneficiary designations A) trusts can be valid B) beneficiary must have insurance interest C) beneficiary may be a natural person

B

All of the following are general requirements of a qualified plan except A( the plan must be permanent B) plans must provide an offset for social security benefits C) must be communicated to all employees

The plan must provide an offset for social security benefits.