Chapter 3-Life Policies

Alice insurance policy is considered replaced if

An existing life insurance policy is lapsed, forfeited surrendered or terminated, Converted to reduced paid up insurance, reissued with a reduction in cash value

Which document contains information about the nonguarenteed elements of a life insurance policy ?

Illistrations

The nonguarenteed elements of an insurance policy are

Illustrations

Which of the following is not included in a policy summary for life insurance ?

Illustrations

Which policy cost comparison method compares the projected policy Cash Value to Premiums paid after a certain number of Years

Surrender Cost Index

Which of the following is false regarding life insurance policy Illistrations

Illustrations are part of the insurance contract

All of the following are considered minimum information that must be on a life insurance illustration Except Form Number Dividend Options if any NonGuarenteed elements if any

Insured Marital Status

Saul wants to sell variable life insurance products. Which license must he hold??

Life and Variable products and securities

Which of the following does not constitute policy replacement?

Life insurance coverage in which a loan is not repaid to the insurer

Angela took out a $2,000 policy loan from her Whole Life Insurance Policy. The policy face amount is $2,000. If Angela does not repay the loan, how will the death benefit be Affected ??

The death benefit will be decreased by 2k+ interest

What is the term used to describe an insurer that cannot pay its claim obligations?

Insolvent

For replacement transactions an insurance producers duties include all of the following EXCEPT; Provide the applicants with a policy cost comparison statement Make a list of all existing policies the applicant intends to replace Leave a notice regarding replacement with the applicant

Notify existing insurers of policies to be replaced

Life insurance policy illustrations must contain all of the following EXCEPT; Agents name Generic name of policy Insured Age & Sex

Only the guaranteed policy Elements

A life insurance policy summary includes all of the following EXCEPT; The insurance Agents Name Policy Premium Amounts Policy Loan Interest Rates

Policy Illistrations