pfa focus mc

k is annuitant currently receiving payments. if she were to die before receiving payments equal to the correct value, a beneficiary will continue receiving payments until an amount equal to the contract value has been paid. this is called -installment refund annuity -joint refund annuity -straight refund annuinty -equal value annuity

-installment refund annuity`

life insurance that covers an insured whole life with level premiums paid over a limited time is called -adjustable life -renewable term -limited pay life -joint life

-limited pay life

which statement is true in regards to a policy loan -past due interest payments not paid after 3 montsh will void the policy -past due interest on a policy loan is added to the total debt -insurance companies can send delinquent interest accounts to a collection agency -insurance companies can charge an interest rate based on the policyowners credit report

-past due interest on a policy loan is added to the total debt

The underwriting process involves all of these EXCEPT for -credit report -policy loan -risk classification -application

-policy loan

What does a 401(k) plan generally provide its participants? -tax free distributios -salary defferend distr -salary deffered contr -a defined retirement benefit

-salary deffered contr

Which product would best serve a retired individual looking to invest a lump-sum of money through an insurance company? -variable life -interest sensitive life -university life -annuity

annuity

All of these Settlement options involve the systematic liquidation of the death proceeds in the event of the insured's death EXCEPT -fixed period -interest only -fixed amt -life income

interest

what kind of policy eithier pays the face value upon the death of the insured or wehn the insured reaches age 100 -term -whole -credit -universal

whole life

how long does an individual have to rollover funds from an IRA or qualified plan -60 days -90 days -120 days -no limit

-60 days

whihc organization was established to provide funds to protect an insured in the event of an insurer's insolvency -NAIC -Georgia life and health insurance guaranty association -department of insurance -office of insurance regulation

-Georgia life and health insurance guaranty association

which of the following is not included in anannuity contract -nonforfeiture benefit -free look period -beneficiary -ad&d

-ad&d

a cost of living rider give the insured -tax incentives -monthly income -decreasing premiums -additional dearh benefits

-additional dearh benefits

group life insurance policies are generally wrtitten as -term rider -annually renewable term -group whole life

-annually renewable term

Automatic Premium Loan Provision is designed to -avoid a policy lapse -allow a policyoner to request policy loan

-avoid a policy lapse

T applies for a life insurance policy and is told by the producer that the insurer is bound to the coverage as of the date of the application or medical examination, whichever is later, provided that T is an acceptable risk. What item is given to T? -binding receipt -conditional receipt -warranty receipt -backdated receipt

-conditional receipt

Credit life insurance is typically issued with which of the following types of coverage? -annual renewable term -decreasing term -individual whole life -group term

-decreasing term

Which of these types of policies may NOT have the Automatic Premium Loan provision attached to it? -modified whole life -20 pay life -decreasing term -endowment

-decreasing term

what tyoe of life polucy has a death benefit adjusts periodically and is written for a specififc period of time -modified whole life -20 year paid up -endowment -decreasing term

-decreasing term

S is close to retiring and would like to purchase a policy that will yield greater gains than bonds, but will still protect the principal with a minimum level or risk. Which product would S be advised to purchase? -equity index insurance -endowment -graded whole life policy -return of premium policy

-equity index insurance

N, age 50, recently bought an annuity that will pay a guaranteed $2,000/month at age 70 for life. What type of annuity did N purchase? -fixed period -fixed deferred -fixed immediate -fixed variable

-fixed deferred

the payments on Q's annuity are no less than $250 quarterly. which of the following annuities does Q own -immediated fixed -quartery flexible -flexible installment deferred -adjustable deferred

-flexible installment deferred

a nonforfeiture clause gives the policowner -lifetime income -guaranteed values even if the policy has lapsed -unemployment benefits -cost of living allowances

-guaranteed values even if the policy has lapsed

all of the statements TSA are true except -income derived fromTSA is received income tax-free -tsa are available to public school -contributions to tsa are tax dedeuctible -interest earned by tsa is tax deffered

-income derived fromTSA is received income tax-free

how does an indexed annuity differ from a fixed annuity -fixed annuity owners receive credited interest tied to the fluctuations of the linked index -indexed annuity owners may receive credited interest tied to the fluctuatuons of the linked index -fixed annuity owners have a separte investment account -indexed annuity inwers receive annual dividend

-indexed annuity owners may receive credited interest tied to the fluctuatuons of the linked index

a life insurance policy that provides a policyowner with cash value along with a level face amount is called -whole life -level life -credit life -ordinary life

-level life

Which of the following documents must an agent submit to the replacing insurance company during the replacement of an exiting life insurance policy? -notice to existing and replacing insurers of intention to replace -a list of all policies the agent has replaced in the last 3 years -a statement made by the agent that NAIC guidelines have been met during the replacement process -a copy of the agent's insurance license

-notice to existing and replacing insurers of intention to replace

a provision in a life insurance policy that pays the policyowner an amount does not surpass the guranteed cash value is called -policy loan provision -automatic premium loan provision -accelerated benefirts provisiosn -consideration clause

-policy loan provision

k shopping for a permanent life insurance policy that will help her offer her the most protection per dollar of annual premium. which of these policies best fits her needs -endowment -straight life -10 yeat renewable -joint life

-straight life

The annuity that represents the largest possible monthly payment to an individual annuitant is a(n) -cash refund -installment refund -straight life annuity -life annuity w period certain

-straight life annuity

the annuity that represents the largest possible monthly payment to an individual annuitant is a -cash refund -installment refund -straight life annuity -life annuity w period certain

-straight life annuity

What kind of life insurance product covers children under their parent's policy? -family maintenace -term rider -familu incomce -payer benefit

-term rider

Which of these life insurance riders allows the applicant to have excess coverage? -automatic premium loan rider -waiver of premium rider -guarantee insurability rider -term rider

-term rider

who is normally considered to be the owner of a 403b tax-sheltered annuity -the 403b custodian -the finacial insitution -the employer -the employee

-the employee

a __ life policy offers the owner investment in products such as money market funds, long tern bonds, and equities -adjustable -term -universal -variable

-universal

a __ annuity pays benefits based on units rather than stated dollar amounts -deffered -variable -immediate -unit

-variable

in order to sell a __ life policy, a producer is reuqired to register with the FINRA -variable -adjustable -straight -term

-variable