Ch. 5 Individual Life Insurance contract- Provisions and Options
Which of the following is TRUE about a class designation?
Beneficiaries are not identified by name
Which of the following methods to designate a beneficiary literally means "by the head?"
Per capita
An insured wants to change from an annual premium mode to a monthly premium mode. Which of the following is true?
This change can only be made on policy's anniversary
Which of the following policy components contains the company's promise to pay?
Insuring clause
What would be an advantage to naming a contingent (or secondary) beneficiary in a life insurance policy?
It determines who receives policy benefits if the primary beneficiary is deceased
The sole beneficiary of a life insurance policy dies before the insured. If the policyowner fails to change the beneficiary before the insured's death, the proceeds of the policy will go to
The insured's estate
Which of the following is TRUE about nonforfeiture values?
They are required by state law to be included in the policy
