xcel take 3 terms idk

Which of these is an element of a Variable Life Policy? A. a fixed level premium B. insurer assumes the investment risk C. no investment risk to the policyowner D. rate of returns of guaranteed

A. a fixed level premium

Who do Dread Disease policies cover? A. a specific disease or illness B. all diseases or illnesses C. only terminal illnesses D. only heart related diseases

A. a specific disease or illness

The combination of whole life and _________ term insurance is referred to as a Family Income Policy A. decreasing B. universal C. variable. D. level

A. decreasing

C is trying to determine whether to convert her convertible term life policy to whole life insurance using her original age or attained age. What factor would affect her decision the most? A. the cost B. the nonforfeiture options C. the contestable period D. the assignment of ownership

A. the cost

An agent that sells _______ Life insurance MUST be registered with the Financial Industry Regulatory Authority (FINRA) A. variable B. straight C. universal D. credit

A. variable

A(n) _________________ term life policy is normally used when covering an insured's mortgage balance A. increasing B. decreasing C. level D. variable

B. decreasing

All of these Settlement options involve the systematic liquidation of the death proceeds in the event of the insured's death EXCEPT A. fixed period B. interest only C. fixed amount D. life income

B. interest only

Q is severely injured in an automobile accident and becomes totally disabled. How many months must Q be disabled before being able to apply for Social Security disability benefits? A. 3 B. 4 C. 5 D. 6

C. 5

A limited pay life policy has A. graded death benefits B. no cash value C. premium payments limited to a specific number of years D. premium payments that are paid to age 100

C. premium payments limited to a specific number of years

Which of these Nonforfeiture Options continue a build-up of cash value? A. waiver of premium B. extended term C. reduced paid up D. cash surrender

C. reduced paid up

____ of personal life insurance premiums is usually deductible for federal income tax purposes A. 100% B. 75% C. 50% D. 0%

D. 0%

Which of the following statements is CORRECT regarding the tax treatment of a lump sum payment paid to a life insurance policy's primary beneficiary? A. The proceeds which exceed the amount paid in premiums are taxable B. The proceeds are taxable only if the beneficiary's tax bracket has changed from the payout C. All proceeds are considered taxable income in the year they are received D. All proceeds are income tax free in the year they are received

D. All proceeds are income tax free in the year they are received

When funds are shifted straight from one IRA to another IRA, what percentage of the tax is withheld? A. 10% B. 20% C. 30% D. None

D. None

Which premium schedules results in the lowest cost to its policyholder? A. semi annual B. monthly C. quarterly D. annual

D. annual

How are Roth IRA distributions normally taxed? A. 10% penalty tax is applied B. taxed as ordinary income C. capital gains tax is applied D. distributions are received tax free

D. distributions are received tax free

Which of the following services is NOT included under hospitalization expense coverage? A. daily room and board B. surgical fees C. intensive care D. miscellaneous expenses

B. surgical fees

T filles a claim on his accident and health policy after being treated for an illness. The insurance company believes that T misrepresented his actual health on the initial insurance application and is, therefore, disputing the claim's validity. The provision that limits the time period during which the company may dispute a claim's validity is called A. insuring B. time limit on certain defenses C. grace period D. free look

B. time limit on certain defenses

Which of these types of life insurance allows the policyowner to have level premiums and to also choose from a selection of investment options? A. modified whole B. variable C. universal D. adjustable

B. variable

In an individual retirement account (IRA), rollover contributions are A. subject to capital gains tax B. subject to ordinary income tax C. partially limited by dollar amount D. not limited by dollar amount

D. not limited by dollar amount

Whole life insurance policies are contractually guaranteed to provide each of the following EXCEPT A. cash value that will ultimately replace the death benefit B. nonforfeiture benefit options C. premiums that remain fixed for the life of the policy D. partial withdrawal features beyond a surrdender charge policy

D. partial withdrawal features beyond a surrdender charge policy

A level premium indicates A. the premium is fixed for a period stated in the contact, then becomes variable B. the premium can only be changed w/ the consent of the insurer C. the premium stays level until the policy's renewal date D. the premium is fixed for the entire duration of the contract

D. the premium is fixed for the entire duration of the contract