Insurance test

When an insured makes truthful statements on the application for insurance, and pays the required premium. It is known, as which is the following.

Consideration

Which of the following terms describes making false statements about the financial condition of any insurer that intended to injure any person engaged in the business of insurance

Defamation

Insurance is a transfer of

Risk

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

Signed waiver of premium

Which of the following statements is correct about a standard risk classification in the same age group, and with similar lifestyles

Standard risk is representative of the majority of people

Which of the following may not be included in an insurance companies advertisement?

That it's policies are covered by a state guarantee association

Which of the following is not an example of a business use of life insurance?

Workers compensation

Jay applied for a life insurance policy on January 10. The policy was issued on January 31. Jace agent was vacationing at the time of the policy was issued so Jay did not receive the policy until February 18. Jay decides that he does not want the policy? When would Jay need to return the policy to the insurer in order to receive the full refund of the premium paid?

February 28 or 10 days after the time the policy was delivered

If an insured worker has earned 40 of coverage, the worker status under Social Security disability is

Fully insured

All of the following are business uses of life insurance, except

Funding against company general financial loss

What required provision protects against unintentional lapse of the policy?

Grace period

In a case where the primary beneficiary predeceases the insured and event of the insured death, the death benefit proceeds will be paid to

The contingent beneficiary

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

The owner

If an insured continuously uses an automatic premium loan option to pay the policy premium

The policy will terminate when the cash values reduced to nothing

Which of the following types of policies allow for a flexible, premium, and a variable investment component

Variable universal life insurance

Which of the following terms is used to describe a person or other than a viator that enters or effectuates a viatical settlement contract

Viatical settlement provider

The main difference between immediate and deferred annuities is

When the income payments begin

A father purchases a life insurance policy on his teenage daughter and add the payor benefit rider in which of the following scenarios will the writer waive the payment of premium

If the father is disable for more than 6 months

The president of a company is starting an annuity and decides that his corporation will be the annuitant which of the following statements is true

The annuitant must be a natural person

Under special circumstances, after the initial license. A temporary license can be extended for additional.

180 days

Nature has committed three advertising violations. What would be the maximum penalty

3,000

An insurer must electronically submit a notice of agent appointment with the national insurance producer registry within how many days of an appointment

30 days

If a consumer request additional information concerning an investigation, consumer report, how long does the insurer or reporting agency have to comply?

5 days

According to the replacement rule, replacement of life insurance is defined as a process in which

A new policy is bought, and an old policy is converted into a reduced paid up policy

Which of the following is another term for authorized insurer?

Admitted

What is the purpose of a conditional receipt?

It is intended to provide coverage on the date prior to the policy issue

An insured buys a five-year level premium term policy with the face amount of $10,000. The policy also contains renewability and convertibility options when insured renews the policy in five years what will happen to the premium.

It will increase because the insured will be five years older than when the policy was originally purchased

Which statement is not true regarding a straight life policy

It's premium steadily decreases over time in response to its growing cash value

A couple receives a set amount of income from their annuity when the wife dies the husband no longer receives annuity payments. What type of annuity did the couple buy?

Joint life

A married couple owns a permanent policy, which covers both of their lives, and pays the death benefit only upon the death of the first insured which policies that

Joint life policy

If a settlement option is not chosen by the policy owner or the beneficiary which option will be used

Lump sum

Under the fair credit reporting act people rejected for insurance due to information contained in a consumer report

Must be informed of the source of the report

All of the following are duties of the agent involved in a policy replacement, except

Notify the insure homes insurance is being replaced within three working days

What is the training requirement for procedures who want to sell annuities in the state?

One time 4 hour training course

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

Purchases a single premium policy for reduced face amount

Which of the following describes attachments made to polices that either add or modify coverage?

Riders

All of the following would be considered rebating, except

An agent misrepresents policy benefits to a convenience of a policy owner to replace policies

Which of the following premium payments modes will incur the lowest overall payment

Annual

The least expensive first year premium is found in which of the following policies

Annually renewable term

Which of the following would be allowed in a life insurance contract in Kansas?

Backdating policies, issue, date six months from the application date

How was the state insurance guaranteed dissociations funded

By its members insurers

To legally transact insurance in the state, and ensure must obtain which of the following

Certification of authority

A banker is ready to close on a customers loan the bank is loan, but only if purchases and insurance policy from the bank amount of the loan, this is an example of what

Coercion

Which of the following best describes an insurance company that has been formed under the laws of the state

Domestic

The commissioner of insurance is

Elected by popular vote

The policy owner of an adjustable life policy wants to increase the death benefit which of the following statements is correct regarding this change

The death benefit can only be increased by providing evidence of insurability