Life insurance policies

If an employee wants to enter the group outside of the open enrollment period, to reduce adverse selection, the insurer may

Require evidence of insurability

A man decided to purchase a $100,000 annually renewable term life policy to provide additional protection until his children finished college. He discovered his polichy

Required a premium increase each renewal

If an insurer cancels a universal life insurance policy due to the nonpayment of required premiums, how much prior notice must be given to the policy owner?

30 days

All of the factors being equal, the least expensive first-year premium payment is found in ?

Annually renewable term

Which of the following policies would have an IRS required corridor or gap between the cash value and the death benefit?

Universal LIfe-Option A

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

A SEC registration

An employee quits his job and converts his group policy to an individual policy; the premium for the individual policy will be based on his?

Attained age

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

Which of the following best describes annually renewable term insurance?

It is level term insurance

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

Which statement is NOT true regarding a straight life policy?

The premium steadily decreases over time, in response to its growing cash value.

Which of the following policies is characterized by a provision where the premiums are lower in the early years of the policy and increase over time to a point where they become level for the remainder of the policy?

Graded premium whole life

Which universal life option has a gradually increasing cash value and a level death benefit?

Option A

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.