PRIMERICA ALL TIME STUDY GUIDE
Which of the following is among the regulations set forth by the Florida Replacement Rule?
Providing a written comparison and summary statement
If an employer decides to change its life insurance policy to a similar one with a different insurer, which of the following describes the extent that replacement regulations will be exercised?
Replacement regulations will not apply in this situation
If a life insurer holds the proceeds of any policy it issues, which of the following is true?
The proceeds may be exempt from any creditor's claims against a beneficiary other than the policy owner
How must a replacing producer respond to an applicant wishing to replace existing life insurance?
The producer must provide the applicant with a Notice Regarding Replacement
What is the maximum value of promotional gifts that an agent may give to a prospective insured?
$100
Which of the following insurance products would be subject to the regulation on life insurance solicitation?
A term life policy
Which rule would apply if an agent knows an applicant is going to cash in an old policy and use the funds to purchase new insurance?
Replacement rule
When a life insurance policy stimulates that the beneficiary will receive payments in specified installments or for a specified number of years, what provision prevents the beneficiary from changing or borrowing from the planned installments?
Spendthrift Provision
How will a life insurance beneficiary designation, naming a spouse, be changed by divorce?
The beneficiary designation will be voided
An employer offers group life insurance to its employees for the amount of $10,000. Which of the following is true?
The cost of coverage is a deductible expense by the employer
Which of the following dates must be contained in a policy summary?
The date the summary was prepared
Under a group plan, certificates of insurance must include all the following EXCEPT
The name of the writing agent
A person insured under a group life insurance policy can make an assignment of all or any part of the incidents of ownership conferred on the insured, by policy or by law, to any of the following EXCEPT
The policyholder
An annuity contract is issued to a consumer over age 65. What is the maximum surrender charge for a withdraw of money allowed on this annuity?
10%
A paid nonforfeiture benefit will become effective as specified in the policy, unless the person entitled elects another available option within how many days after the due date of the premium in default?
60 days
If a claim is made on a policy during the grace period, an insurer is allowed to deduct the overdue premium and to charge interest. What is the maximum allowed interest rate?
8%
An employee will be taxed on the cost of group life insurance paid by the employer if the amount of coverage exceeds
$50,000
In life policies issued in this state, insurers are permitted to charge interest during the policy grace period for the number of days elapsing before the premium is paid. What is the maximum annual interest rate?
8%
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
All of the following information about a customer must be used in determining an annuity suitability EXCEPT
Beneficiary's age
Which term describes the benefits of a life insurance policy that the policy owner does not automatically relinquish even if the policy lapses?
Nonforfeiture values
If an employee is accepted into a group life insurance plan, which status will the employee have?
Certificate holder
Who does the secondary notice provision protect?
Elderly insureds
An insured received a new life insurance policy 5 days ago, but after a closer inspection of the policy provisions, decided to return it to the insurer. What provision would allow the insured to return the policy for a full premium refund?
Free look
What kind of policy issues certificates of insurance to insureds?
Group Insurance
What kind of policy does NOT typically require proof of insurability?
Group Life Insurance
Which of the following is true regarding the spendthrift clause in insurance policies?
It can protect the policy proceeds from creditors of the beneficiary
Which statement is not true regarding a policy summary?
It must be combined with a sales illustration
When replacing life insurance, the duties of the replacing insurance company include all of the following EXCEPT
Maintaining a copy of the Notice Regarding Replacement and all sales proposals used for at least 5 years
Can a group that is formed for the sole purpose of obtaining group insurance qualify for group coverage?
No, the group must be formed for a purpose other than obtaining group life insurance
When does a free-look period begin on a life insurance policy?
When the policy is delivered to the insured