simulation exam questions

the proceeds were paid to the beneficiary 3 years after the annuitant death, death benefit was 100,00 how much will beneficiary recieve

127,000

how long is the trial examination period for life insurance policies issued in this state

20 days

within how many days of requesting an investigative consumer report must an insurer notify the consumer in writing that the report will be obtained

3 days

How long must insurers keep copies of solicitation documents in their home office

3 years

how long must an insurer maintain a record of policy claism after an insurance policy is no longer in force.

4 years

when an annuity is purchased or exchanged based on a producers reccomendation, how long must producer keep record

5 years

An agent selling variable annuities must be registered with

FINRA

An applicant is denied insurance because of information found on a consumer report. Which of the following requires that the insurance company supply the applicant with the name and address of the consumer reporting company?

Fair crediting reporting act

Two attorneys operate their practice as a partnership. They want to start a program through their practice that will provide retirement benefits for themselves and three employees. They would likely choose

HR 10 KEOUGH PLAN

Any inducement offered to the insured in the sale of an insurance policy that is not specified in the policy is an unlawful practice known as

REBATING

Which type of retirement account does not require the owner to start taking distributions at age 72?

ROTH

all of the following statements concerning an employer sponsored nonqualified retirement plan for EXCEPT

The employer can receive a current tax deduction for any contributions made to the plans

when would a 20 pay whole life policy endow

aWhen the insured reaches age 100

which of the following is another term for an authorized insurer

admitted

the minimum interest rate on an equity indexed annuity is often based on

an index like standard and poors 500

the death protection component of universal life is always

annually renewable term

Employer contributions made to a qualified plan

are subject to vesting requirements.

A tax sheltered annuity is a special tax favored retirement plan available to

certain amount of employers only

which of the following reports will provide the underwriter with the information about an insurance applicants credit

consumer report

what happens when a policy is surrendered for its cash value

coverage ends and policy can not be reinstated

which of the following is not a term for the period of time during which the annuitant or the beneficiary recieves income

depreciation period `

When twin brothers applied for life insurance from Company A, the company found that while neither of them smoked and both had a very similar lifestyle, one of the twins was in a much stronger financial position than the other. Because of this, the company charged him a higher rate for his insurance. This practice is considered

discrimination

all of the following could be considered rebates if offered to an insured besides

dividends from a mutual company

On its advertisement, a company claims that it has funds in its possession that are, in fact, not available for the payment of losses or claims. What is the company guilty of?

misrepresentations

the interest earned on policy dividends

taxable

the fine refusing to appear and testify when required by commissionier in relation to affiars

5,000

an insured surrenders a life insurance policy and demands the surrender value how long can the insurer defer the request

6 months

According to the fair crediting reporting act, all of following would be considered negative information about consumer except

disputes regarding consumer report information

Which rider, when attached to a permanent life insurance policy, provides an amount of insurance on every family member?

family term rider

all following accounts are held by life and health guaranty association besides

fiduciary account

all of the following policies must contain stated nonforfeiture provisions except

group life

the life insurance policy clause that prevents an insurance company from denying payment of a death claim

incontestability clause

who makes up the medical information bureau

insurers

What is the benefit of choosing extended term as a nonforfeiture option?

it has the highest amount of insurance protections.

Which of the following statements about the reinstatement provision is true

it requires the policy owner to pay all overdue premiums with interest before policy is reinstalled

Under the Fair Credit Reporting Act, individuals rejected for insurance due to information contained in a consumer report

must be informed of the source of report

if an insured wishes to designate a third party to recieve cancellation notices, the insured must provide the insurer with which of the following

name and address

on a participating insurance policy issued by a mutual insurance company, dividends paid to policyholders are

not taxable

which of the following documents must be provided to the policyowner or applicating during policy replacement

notice regarding replacement

During replacement of life insurance, a replacing insurer must do which of the following?

obtain a list of all life insurance policies that will be replaced

which of the following explains the policyowner right to change beneficiaries, choose options, and receive proceeds of a policy

owners rights

which of the following riders does NOT cause the death benefit to increase

payor benefit rider

all of the following are characteristics of group life insurance EXCEPT

premiums are determined by the age sex and occupation of the entire group

if an insurance company requires a potential insured to be tested for HIV the company must do all of the following except

provide literature on HIV testing to the individual

If Commisioner finds proucer has engaged in unfair method of competition or deceptive act....

statement of charges

all of the following would be different between qualified and nonqualified retirement plans except

taxation on acucmulation

A 60-year-old participant in a 401(k) plan takes a distribution and rolls it over to an IRA within 60 days. Which of the following is true?

the amount of distribution is reduced by the amount of a 20% withholding tax.

all of the following statements about equity index annuities are correct except

the annuitant receives a fixed amount of return

A corporation is owner and beneficiary of the key person life policy, if coporation collects the policy benefit then

the benefit is received tax free.

an individual applied for an insurance policy and paid initial premium. the insurer issued a conditional receipt. five days later the applicant gets a medical exam, what would be the policys effective date

the date of medical exam

which of the following protects consumers against the circulation of inaccurate or obsolete person or financial information

the fair credit reporting act

during policy replacement, the insurer must provide a policy summary of the time of delivery of policy if

the insurer does not provide a basic illistration

the insurer must provide a policy summary when

the policy is delivered

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

the same face amount as in the whole life policy

How are contributions to a tax-sheltered annuity treated with regards to taxation?

they are not induced as income for the employees, but are taxable upon Distrubutions

which is true regarding irrevocable beneficiaries

they can be changed only by written consent of beneficiary

what is the purpose of the disclosure rule in life insurance solicitation

to provide adequate information to consumers about life insurance products.

which of the following is a statement that is guaranteed to be true and if untrue may breach and insurance contract

warranty

to which of the following would the life insurance solicitation rule apply

whole life policies