CO- TERM LIFE EXAM
WHEN AN APPLICATION FOR AN ANNUITY CONTRACT IS TAKEN FACE TO FACE WITH THE CONSUMER, THE PRODUCER MUST GIVE ALL REQUIRED DISCLOSURE DOCUMENTS
AT OR BEFORE THE TIME OF APPLICATION
WHAT IS THE MAIN PURPOSE OF THE SEVEN-PAY TEST
IT DETERMINES IF THE INSURANCE POLICY IS A MEC
WHICH OF THE FOLLOWING WOULD HELP REVENT A UNIVERSAL LIFE POLICY FROM LAPSING
TARGET PREMIUM
WHICH OF THE FOLLOWING, WHEN ATTACHED TO A PERMANENT LIFE INSURANCE POLICY, ALLOWS THE POLICY OWNER TO CUSTOMIZE THE POLICY TO PROVIDE AN ADDITIONAL AMOUNT OF TEMPORARY INSURANCE ON THE INSURED, OR ALLOWS AMOUNTS OF TEMPORARY INSURANCE TO COVER OTHER FAMILY MEMBERS?
TERM RIDER
WHICH OF THE FOLLOWING IS TRUE REGARDING VARIABLE ANNUITIES?
THE ANNUITANT ASSUMES THE RISK ON INVESTMENT
WHICH OF THE FOLLOWING INSURANCE ARRANGEMENTS WILL BE APPROPRIATE FOR A PARENT BUYING A LIFE INSURANCE POLICY ON A CHILD WHRE THE PARENT IS THE POLICY OWNER?
THIRD-PARTY OWNERSHIP
What is the maximum Civil penalty per violation if an unauthorized entity violates the commissioners cease and desist order?
$25,000
AN INSURER WHO WILLFULLY VIOLATES A SINGLE PROVISION OF AN UNFAIR TRADE PRACTICE REGULATION MAY BE FINED:
$30,000
An insurer who willfully violates a single provision of an unfair trade practice regulation may be fined?
$30,000
AN INSURED OWNS A $50,000 WHOLE LIFE POLICY. AT AGE 47, THE INSURED DECIDES TO CANCEL HIS POLICY AND EXERCISE THE EXTENDED TERM OPTION FOR THE POLICY'S CASH VALUE, WHICH IS CURRENTLY $20,000. What would be the face amount of the new term policy?
$50,000
A PERSON WAS FOUND GUILTY OF AN UNFAIR TRADE PRACTICE OF DEFAMATION. WHAT IS THE MAXIMUM MONETARY PENALTY THE PERSON MAY HAVE TO PAY?
$500
An insured had a $10,000 term life policy. The annual premium of $200 was due February 1; however, the insured failed to pay the premium. He died on February 28. How much would the beneficiary receive front the policy?
$9,800
AN INSURED RECEIVES AN ANNUAL LIFE INSURANCE DIVIDEND CHECK. WHAT TERM BEST DESCRIBES THIS ARRANGEMENT?
CASH OPTION
IF AN APPLICANT FOR A LIFE INSURANCE POLICY IS FOUND TO BE A SUBSTANDARD RISK, THE INSURANCE COMPANY IS MOST LIKELY TO:
CHARGE A HIGHER PREMIUM
FIXED ANNUITIES PROVIDE ALL OF THE FOLLOWING EXCEPT:
HEDGE AGAINST INFLATION
WHICH OF THE FOLLOWING IS NOT A PENALTY FOR VIOLATING PROVISIONS OF THE INSURANCE CODE?
IMPRISONMENT
ANNUALLY RENEWABLE TERM POLICIES PROVIDE A LEVEL DEATH BENEFIT FOR A PREMIUM THAT:
INCREASES ANNUALLY
All of the following are non forfeiture options except:
Interest only
When a reduced-paid up nonforfeiture option is chosen, what happens to the face amount of the policy?
It is reduced to the amount of what the cash value would buy as a single premium
WHICH OF THE FOLLOWING SETTLEMENT OPTIONS IN LIFE INSURANCE IS KNOWN AS STRAIGHT LIFE?
LIFE INCOME
WHICH OF THE FLOWING IS AN EXAMPLE OF A LIMITED PAY LIFE POLICY?
LIFE PAID UP AT AGE 65
WHICH OF THE FOLLOWING IS AN EXAMPLE OF A LIMTED-PAY LIFE POLICY?
LIFE PAID-UP AT AGE 65
IN THE STATE OF OF COLORADO AN UNFAIR TRADE PRACTICE OF DEFAMATION IS CONSIDERED A/AN:
MISDEMEANOR
WHAT IS THE TERM FOR HOW FREQUENTLY A POLICY OWNER IS REQUIRED TO PAY THE POLICY PREMIUM?
MODE
REGARDING THE FREE-LOOK PROVISION, THE INSURANCE COMPANY
MUST ALLOW THE POLICY OWNER TO RETURN THE POLICY FOR A FULL REFUND.
TO WHICH OF THE FOLLOWING SITUATIONS DOES THE REPLACEMENT REGULATION APPLY?
NONRENEWABLE COVERAGE EXPIRING IN 8 YEARS
WHICH OF THE FOLLOWING RIDERS WOULD NOT CAUSE THE DEATH BENEFIT TO INCREASE?
PAYOR BENEFIT RIDER
A DOMESTIC INSURER ISSUING VARIABLE CONTRACTS MUST ESTABLISH ONE OR MORE:
SEPARATE ACCOUNTS
IF AN IMMEDIATE ANNUITY IS PURCHASED WITH THE FACE AMOUNT AT DEATH OR WITH THE CASH VALUE AT SURRENDER, THIS WOULD BE CONSIDERED A
SETTLEMENT OPTION
Group life insurance policies delivered in Colorado must contain all of the following provisions except:
Statements on the application are considered warranties
THE PRESIDENT OF A COMPANY IS STARTING AN ANNUITY AND DECIDES THAT HIS CORPORATION WILL BE THE ANNUITANT. WHICH OF THE FOLLOWING STATEMENTS IS TRUE?
THE ANNUITANT MUST BE A NATURAL PERSON
HOW ARE CONTRIBUTIONS TO A TAX SHELTERED ANNUITY TREATED WITH REGARDS TO TAXATION?
THEY ARE NOT INCLUDED AS INCOME FOR THE EMPLOYEE, BUT ARE TAXABLE UPON DISTRIBUTION
WHICH OF THE FOLLOWING STATEMENTS IS TRUE CONCERNING IRREVOCABLE BENEFICIARIES?
THEY CAN BE CHANGED ONLY WITH THE WRITTEN CONSENT OF THAT BENEFICIARY.
INSURANCE
TRANSFER OF RISK. INSUREDS' LOSSES ARE TRANSFERRED OVER TO THE INSURER
Which is true about a spouse term rider?
The rider is usually level term insurance
All of the following are requirements for life insurance illustrations except:
They must be apart of the contract
If an insurance producer allows his or her license to lapse, within how many months of the due date if the continuation fee may the producer reinstate the license without having to pass a written examination?
Within 12 months
how often will the commissioner examine domestic insurers in this state?
every 5 years
an insurance producer is prohibited from charging separate fees for nay of the following services except:
financial planning
WHICH OF THE FOLLOWING BEST DESCRIBES A MISREPRESENTION?
issuing sales material with exaggerated statements about policy benefits
colorado's insurable interest act allows all of the following except:
stranger-originated life insurance
Who is responsible for giving the Notice to the replacing insurer in a replacement life transaction?
the producer
WHAT IS THE NUMBER OF CREDITS REQUIRED FOR FULLY INSURED STATUS FOR SOCIAL SECURITY DISABILITY BENEFITS?
40
A producer is required to remit premiums from a trust account to the insurer within how many days of receipt?
45 days
THE TERM ILLUSTRATION IN A LIFE INSURANCE POLICY REFERS TO:
A PRESENTATION IF NON GUARANTEED ELEMENTS OF A POLICY
IF A COMPANY HAS A SIMPLIFIED EMPLOYEE PENSION PLAN WHAT TYPE OF PLAN IS IT?
A QUALIFIED PLAN FOR SMALL BUSINESS
In which of the following situations has replacement occurred?
A policy wonder borrows 25% of their cash value to buy a new policy
THE LEAST EXPENSIVE FIRST YEAR PREMIUM IS FOUND IN WHICH OF THE FOLLOWING POLICIES?
ANNUALLY RENEWABLE TERM
A UNIVERSAL LIFE INSURANCE POLICY IS BEST DESCRIBED AS A/AN:
ANNUALLY RENEWABLE TERM POLICY WITH A CASH VALUE ACCOUNT.
AN UNLICENSED ASSISTANT WORKS FULL TIME IN AN INSURANCE AGENCY. SHE MAY PERFORM ALL OF THE FOLLOWING ACTIVES EXCEPT:
COLLECT PREMIUM FOR IN-FORCE POLICIES.
PRODUCERS IN COLORADO WHO INTEND TO SELL ANNUITIES ARE REQUIRED TO DO WHICH OF THE FOLLOWING?
COMPLETE AN INITIAL 4-HOUR ANNUITY TRAINING COURSE
THE TERM "EMPLOYER" WITH RESPECTS TO GROUP INSURANCE POLICY COVERAGE INCLUDES ALL OF THE FOLLOWING EXCEPT:
CONDOMINIUM OWNERS IN SUB-DIVISION
WHICH OF THE FOLLOWING REPORTS WILL PROVIDE THE UNDERWRITER WITH THE INFORMATION ABOUT AN INSURANCE APPLICANT'S CREDIT?
CONSUMER REPORT
WHICH OF THE FOLLOWING INCLUDES INFORMATION REGARDING A PERSON'S CREDIT, CHARACTER, REPUTATION AND HABITS?
CONSUMERS REPORT
CONTRACTS THAT ARE PREPARED BY ONE PARTY AND SUBMITTED TO THE OTHER PARTY ON A TAKE-IT-OR-LEAVE-IT BASIS ARE CLASSIFIED AS:
CONTRACTS OF ADHESION
ACCORDING TO THE ENTIRE CONTRACT PROVISION, WHAT DOCUMENT MUST BE MADE PART OF THE INSURANCE POLICY?
COPY OF ORIGINAL APPLICATION
Which of the following would not constitute a policy replacement?
Converting group coverage to individual coverage
WHEN A PRODUCER WAS REVIEWING A POTENTIAL CUSTOMER'S COVERAGE WRITTEN BY ANOTHER COMPANY, THE PRODUCER MADE SEVERAL REMARKS THAT WERE MALICIOUSLY CRITICAL OF THAT OTHER INSURER. THE PRODUCER COULD BE FOUND GUILTY OF:
DEFAMATION
WHICH OF THE FOLLOWING TERMS IS USED TO NAME THE NON TAXED RETURN OF UNUSED PREMIUMS?
DIVIDEND
UNDER A 20-PAY WHOLE LIFE POLICY, IN ORDER FOR THE POLICY TO PAY THE DEATH BENEFIT TO A BENEFICIARY, THE PREMIUMS MUST BE PAID:
FOR 20 YEARS OR UNTIL DEATH, WHICH EVER COMES FIRST
IN A DIRECT ROLLOVER, HOW IS THE MONEY TRANSFERRED FROM ONE PLAN TO THE NEW ONE?
FROM TRUSTEE TO TRUSTEE
WHAT IS TRUE ABOUT THE CASH SURRENDER NON FORFEITURE OPTION?
FUNDS EXCEEDING THE PREMIUM PAID ARE TAXABLE AS ORDINARY INCOME
Which is true about the bad surrender non forfeiture option?
Funds exceeding the premium paid are taxable as ordinary income
WHAT IS THE PURPOSE OF A CONDITIONAL RECEIPT?
IT IS INTENDED TO PROVIDE COVERAGE ON A DATE PRIOR TO THE POLICY ISSUE
WHICH OF THE FOLLOWING BEST DESCRIBES ANNUALLY RENEWABLE TERM INSURANCE?
IT IS LEVEL TERM INSURANCE
AN INSURED PURCHASED AN INSURANCE POLICY 5 YEARS AGO. LAST YEAR, SHE RECEIVED A DIVIDEND CHECK FROM THE INSURANCE COMPANY THAT WAS NOT TAXABLE THIS YEAR, SHE DID NOT RECEIVE A CHECK FROM THE INSURER. FROM WHAT TYPE OF INSURER DID THE INSURED PURCHASE THE POLICY?
MUTUAL
Which of the following is not true regarding policy loans?
Money borrowed from the cash value is taxable
PART 2 OF THE APPLICATION FOR LIFE INSURANCE PROVIDES QUESTIONS REGARDING ALL OF THE FOLLOWING EXCEPT:
OTHER INSURANCE COVERAGES
A RIDER ATTACHED TO A LIFE INSURANCE POLICY THAT PROVIDES COVERAGE ON THE INSURED'S FAMILY MEMBERS IS CALLED THE:
OTHER-INSURED RIDER
AN INSURED PURCHASED A LIFE POLICY IN 2010 AND DIED IN 2017. THE INSURANCE COMPANY DISCOVERS AT THE TIME THAT THE INSURED HAS MISSTATED INFORMATION DURING THE APPLICATION PROCESS. WHAT CAN THEY DO?
PAY THE DEATH BENEFIT
INSURANCE CONSIDERATION
PROMISE TO PAY FOR LOSSES
BEFORE MARKETING AN ANNUITY CONTRACT TO THE CONSUMER, AN AGENT HAS A RESPONSIBILITY TO DETERMINE WHETHER THE ANNUITY IS SUITABLE FOR A CLIENT BY:
QUESTIONING THE CLIENT REGARDING HER INVESTMENTS AND OTHER INSURANCE PRODUCTS
AN AGENT OFFERS HIS CLIENT FREE TICKETS TO A SPORTING EVENT IN EXCHANGE FOR THE PURCHASE OF AN INSURANCE POLICY. THE AGENT IS GUILTY OF:
REBATING
All of the following are true regarding rebates except:
Rebates are allowed if it's in the best interest of the client
The policy owner pays for her life insurance annually. Until now, she has collected a non taxable dividend check each year. She has decided that she would rather use the dividends to help pay for the next premium. What option would allow her to do this?
Reduction of premium
REPRESENTATIONS
STATEMENTS BELIEVED TO BE TRUE
GROUP LIFE INSURANCE POLICES DELIVERED IN CO MUST CONTAIN ALL OF THE FOLLOWING PROVISIONS EXCEPT:
STATEMENTS ON THE APPLICANT ARE CONSIDERED WARRANTIES
ALL OF THE FOLLOWING PROVISIONS MUST BE INCLUDED IN AN INSURER'S ANTI-FRAUD PLAN EXCEPT:
SUSPENSION OF PRODUCER'S LICENSURE
Methods used to pay the death benefits to a beneficiary upon the insured's death are called
Settlement options
ALL OF THE FOLLOWING ARE GENERAL REQUIREMENTS OF A QUALIFIED PLAN EXCEPT:
THE PLAN MUST PROVIDE AN OFFSET FOR SOCIAL SECURITY BENEFITS
ALL OF THE FOLLOWING STATEMENTS CONCERNING THE USE OF LIFE INSURANCE AS AN EXECUTIVE BONUS ARE CORRECT EXCEPT:
THE POLICY IS OWNED BY THE COMPANY
WHICH OF THE FOLLOWING IS TRUE REGARDING THE PREMIUM IN TERM POLICIES?
THE PREMIUM IS LEVEL
UNDER AN EXTENDED TERM NON FORFEITURE OPTION, THE POLICY CASH VALUE IS CONVERTED TO
THE SAME FACE AMOUNT AS IN THE WHOLE LIFE POLICY
Which of the following information will be stated in the consideration clause of a life insurance policy?
The amount of premium payment
Which of the following is true regarding variable annuities?
The annuitant assumes the risks on investment
In comparison to consumer reports, which of the following describes a unique characteristic of investigative consumer reports?
The consumers associates, friends, and neighbors provide the reports data
Why should the producer personally deliver the policy when the first premium has already been paid?
To help the insured understand all aspects of the contract
Which of the following types of policies allows the policy owner to skip premium payments, provided there is enough cash value in the policy to cover the premium amount?
Universal life
WHICH OF THE FOLLOWING PRODUCTS REQUIRES A SECURITIES LICENSE?
VARIABLE ANNUITY
THE RIDER IN A WHOLE LIFE POLICY THAT ALLOWS THE COMPANY TO FORGO COLLECTING THE PREMIUM IF THE INSURED IS DISABLED IS CALLED:
WAIVER OF PREMIUM
The rider in a whole life policy that allows the company to forgo collecting the premium if the insured is disabled is called
Waiver of premium
When is the earliest a policy may go into effect?
When the application is signed and a check is given to the agent
A LICENSEE HAS MET LICENSING QUALIFICATIONS FOR LIFE, HEALTH, PROPERTY, AND CASUALTY INSURANCE. HOW MANY SPEARATE LICENSES WILL THE DEPARTMENT OF INSURANCE ISSUE?
1
FOR HOW MANY YEARS MUST A PRODUCER KEEP SUPPORTING DOCUMENTATION OF HIS OR HER CONTINUING EDUCATION COMPLETION?
5 YEARS FOLLOWING LICENSE CONTINUATION
WHAT IS THE WAITING PERIOD ON A WAIVER OF PREMIUM RIDER IN LIFE INSURANCE POLICIES?
6 MONTHS
IF THE OWNER OF A WHOLE LIFE POLICY WHO IS ALSO THE INSURED DIES AT AGE 80, AND THERE ARE NO OUTSTANDING LOANS ON THE POLICY, WHAT PORTION OF THE DEATH BENEFIT WILL BE PAID TO THE BENEFICIARY
A FULL DEATH BENEFIT
WHICH OF THE FOLLOWING IS NOT CONSIDERED TO BE A LEGAL EXAMPLE OF AN INSURABLE INTEREST IN COLORADO?
A STOLI AGREEMENT
WHICH OF THE FOLLOWING PROTECTS THE INSURED FROM AN UNINTENTIONAL POLICY LAPSE DUE TO A NONPAYMENT OF PREMIUM?
AUTOMATIC PREMIUM LOAN
WHEN AN EMPLOYER OFFERS TO GIVE AN EMPLOYEE A WAGE INCREASE IN THE AMOUNT OF THE PREMIUM ON A NEW LIFE INSURANCE POLICY, THIS IS A CALLED A:
EXECUTIVE BONUS
THE REQUIREMENT THAT PRODUCERS MUST ACCOUNT FOR ALL INSURANCE FUNDS COLLECTED, AND NOT COMMINGLE THOSE FUNDS WITH THEIR OWN IS KNOWN AS:
FIDUCIARY RESPONSIBILITY
NOTWITHSTANDING ANY OTHER PROVISION, OF LAW, EACH INSURER ADMITTED TO TRANSACT THE BUSINESS OF LIFE INSURANCE IN THIS STATE MUST PAY INTEREST ON THE DEATH BENEFITS:
FROM THE DATE OF DEATH
WHICH IS TRUE ABOUT THE CASH SURRENDER NON FORFEITURE OPTION?
FUNDS EXCEEDING THE PREMIUM PAID ARE TAXABLE AS ORDINARY INCOME
AN UNDERWRITER MAY OBTAIN INFORMATION ON AN APPLICANT'S HOBBIES, FINANCIAL STATUS, AND HABITS BY ORDERING AN:
INSPECTION REPORT
WHICH OF THE FOLLOWING IS TRUE ABOUT THE PREMIUM ON THE CHILDREN'S RIDER IN A LIFE INSURANCE POLICY?
IT REMAINS THE SAME NO MATTER HOW MANY CHILDREN ARE ADDED TO THE POLICY
WHICH STATEMENTS IS NOT TRUE REGARDING A STRAIGHT LIFE POLICY?
ITS PREMIUM STEADILY DECREASES OVER TIME, IN RESPONSE TO ITS GROWING CASH VALUE
AN INSURED HAS CONTINUOUS PREMIUM WHOLE LIFE POLICY. SHE WOULD LIKE TO USE THE POLICY DIVIDENDS TO PAY OFF HER POLICY SOONER THAN WOULD HAVE BEEN POSSIBLE OTHERWISE. WHAT DIVIDEND OPTION COULD SHE USE?
PAID-UP OPTION
WHAT IS THE PURPOSE OF ESTABLISHING THE TARGET PREMIUM FOR A UNIVERSAL LIFE POLICY?
TO KEEP THE POLICY IN FORCE
WHICH OF THE FOLLOWING TYPES OF POLICIES ALLOWS THE POLICY OWNER TO SKIP PREMIUM PAYMENTS, PROVIDED THAT THERE IS ENOUGH CASH CALUE IN THE POLICY TO COVER THE PREMIUM AMOUNT?
UNIVERAL LIFE
AN INSURED OWNS A LIFE INSURANCE POLICY. TO BE ABLE TO PAY SOME OF HER MEDICAL BILLS, SHE WITHDRAWS A PORTION OF THE POLICY' S CASH VALUE. THERE IS A LIMIT FOR A WITHDRAWAL AND THE INSURER CHARGES A FEE. WHAT TYPE OF POLICY DOES THE INSURED MOST LIKELY HAVE?
UNIVERSAL LIFE
ALL OF THE FOLLOWING ARE TRUE REGARDING THE CONVERTIBILITY OPTION UNDER A TERM LIFE INSURANCE POLICY EXCEPT:
UPON CONVERSION, THE DEATH BENEFIT OF THE PERMANENT POLICY WILL BE REDUCED BY 50%
IF A POLICY INCLUDES A FREE-LOOK PERIOD OF AT LEAST 10 DAYS, THE BUYER'S GUIDE MAY BE DELIVERED TO THE APPLICANT:
WITH THE POLICY
AN INSURER THAT HOLDS A CERTIFICATE OF AUTHORITY IN THE STATE IN WHICH IT TRANSACTS BUSINESS IS CONSIDERED A:
AUTHORIZED INSURER
WHEN A REDUCED-PAID UP NON-FORFEITURE OPTION IS CHOSEN, WHAT HAPPENS TO THE FACE AMOUNT OF THE POLICY?
IT IS REDUCED TO THE AMOUNT OF WHAT THE CASH VALUE WOULD BUY AS A SINGLE PREMIUM
THE MAXIMUM TIME PERIOD FOR SUICIDE EXCLUSION IN LIFE INSURANCE POLICIES ISSUED IN THIS STATE IS
1 YEAR
ALL OF THE FOLLOWING ARE EXAMPLES OF THIRD-PARTY OWNERSHIP OF A LIFE INSURANCE POLICY EXCEPT:
AN INSURED BORROWS MONEY FROM THE BANK AND MAKES A COLLATERAL ASSIGNMENT OF A PART OF THE DEATH BENEFIT TO SECURE THE LOAN
ALL INSURANCE COMPANIES DOING BUSINESS IN THE STATE OF CO MUST FILE A FINANCIAL STATEMENT WITH THE COMMISSIONER
ANNUALLY, ON OR BEFORE JAN. 1ST
PARTNERS IN A BUSINESS ENTER INTO A BUY-SELL AGREEMENT TO PURCHASE LIFE INSURANCE, WHICH STATES THAT SHOULD ONE OF THEM DIE PREMATURELY, THE OTHER WOULD BE FINANCIALLY ABLE TO BUY THE INTEREST OF THE DECEASED PARTNER. WHAT TYPE OF INSURANCE POLICY MAY BE USED TO FUND THIS AGREEMENT?
ANY FORM OF LIFE INSURANCE
WHAT ARE THE TWO COMPONENTS OF A UNIVERSAL POLICY?
INSURANCE AND CASH ACCOUNT
WHICH OF THE FOLLOWING IS TRUE ABOUT THE MANDATORY FREE LOOK IN A LIFE INSURANCE POLICY?
IT COMMENCES WHEN THE POLICY IS DELIVERED
AN INSURED PAYS $1200 ANNUALLY FOR HER LIFE INSURANCE PREMIUM. THE INSURED APPLIES THIS YEARS $300 WORTH OF ACCUMULATED DIVIDENDS TO THE NEXT YERAS PREMIUM, THUS REDUCING IT TO $900. WHAT OPTION DOES THIS DESCRIBE?
REDUCTION OF PREMIUM
WHICH IS THE APPROPRIATE ACTION BY THE INSURER IF A PROSPECTIVE INSURED SUBMITTED AN INCOMPLETE APPLICATION?
RETURN THE APPLICATION TO THE APPLICANT FOR COMPLETION
WHICH OF THE FOLLOWING IS TRUE ABOUT NON FORFEITURE VALUES?
THEY ARE REQUIRED BY STATE LAW TO BE INCLUDED IN THE POLICY
WHICH OF THE FOLLOWING IS TRUE FOR BOTH EQUITY INDEXED ANNUITIES AND FIXED ANNUITIES?
THEY HAVE A GUARANTEED MINIMUM INTEREST RATE
ALL OF THE FOLLOWING ARE REQUIREMENTS FOR LIFE INSURANCE ILLUSTRATIONS EXCEPT:
THEY MUST BE PART OF THE CONTRACT
THE INSURED IS ALSO THE POLICY OWNER OF A WHOLE LIFE POLICY. WHAT AGE MUST THE INSURED ATTAIN IN ORDER TO RECEIVE THE POLICY'S FACE AMOUNT?
100
THE DIVISION OF THE INSURANCE AS REQUESTED INFORMATION REGARDING AN INSURER'S UNDERWRITING POLICIES VIA E-MAIL. HOW MANY DAYS DOES THE INSURER HAVE TO RESPOND TO THIS REQUEST?
20 DAYS
HOW MANY HOURS OF CONTINUING EDUCATION MUST COVER ETHICS?
3 HOURS
AFTER A CLIENT SIGNS A DISCLOSURE STATEMENT REGARDING ADDITIONAL FEES CHARGED BY A PRODUCER, THE PRODUCER MUST KEEP A COPY OF THE STATEMENT FOR AT LEAST:
3 YEARS FORM THE DATE OF COMPLETION OF SERVICES
THE POLICY OWNER WANTS TO MAKE SURE THAT UPON HIS DEATH, THE LIFE POLICY WILL PAY A PORTION OF THE PROCEEDS ANNUALLY TO HIS SPOUSE, BUT THAT THE PRINCIPAL WILL BE PAID TO THEIR CHILDREN WHEN THEY REACH A CERTAIN AGE. WHICH SETTLEMENT OPTION SHOULD THE POLICY OWNER CHOOSE?
INTEREST ONLY OPTION
WHAT IS THE OFFICIAL NAME FOR THE SOCIAL SECURITY PROGRAM?
OLD AGE SURVIVORS DISABILITY INSURNACE
WHAT IS A DEFINITION OF A UNILATERAL CONTACT?
ONE-SIDED: ONLY ONE PARTY MAKES AN ENFORCEABLE PROMISE
WHICH OPTION FOR UNIVERSAL LIFE ALLOWS THE BENEFICIARY TO COLLECT BOTH THE DEATH BENEFIT AND CASH VALUE UPON THE DEATH OF THE INSURED?
OPTION B
ALL OF THE FOLLOWING ARE TRUE REGARDING INSURANCE POLICY LOANS EXCEPT:
POLICY LOANS CAN BE MADE ON POLICIES THAT DO NOT ACCUMULATE CASH VALUE
WHICH OF THE FOLLOWING WILL BE INCLUDED IN A POLICY SUMMARY
PREMIUM AMOUNTS AND SURRENDER VALUES
WHICH TWO TERMS ARE ASSOCIATED DIRECTLY WITH THE WAY AN ANNUITY IS FUNDED?
SINGLE PAYMENT OR PERIODIC PAYMENTS
AN INDIVIDUAL APPLIED FOR AN INSURANCE POLICY AND PAID THE INITIAL PREMIUM. THE INSURER USSUED A CONDITIONAL RECEIPT. FIVE DAYS LATER THE APPLICANT HAS TO SUMBIT TO A MEDICAL EXAM. IF THE POLICY IS ISSUED, WHAT WOULD BE THE POLICY'S EFFECTIVE DATE?
THE DATE OF MEDICAL EXAM
WHICH OF THE FOLLOWING DESCRIBES THE TAX ADVANTAGE OF A QUALIFIED RETIREMENT PLAN?
THE EARNINGS IN THE PLAN ACCUMULATE TAX DEFERRED
ALL OF THE FOLLOWING ARE TRUE STATEMENTS REGARDING THE ACCUMULATION AT INTEREST OPTION EXCEPT:
THE INTEREST IS NOT TAXABLE SINCE IT REMAIN INSIDE THE INSURANCE POLICY
ALL OF THE FOLLOWING ARE TRUE REGARDING A DECREASING TERM POLICY EXCEPT:
THE PAYABLE PREMIUM AMOUNT STEADILY DECLINES THROUGHOUT THE DURATION OF THE CONTRACT
IN TERMS OF PARTIES TO A CONTRACT WHICH OF THE FOLLOWING DOES NOT DESCRIBE A COMPETENT PARTY?
THE PERSON MUST HAVE AT LEAST COMPLETED SECONDARY EDUCATION
WHICH OF THE FOLLOWING BEST DEFINES TH E"OWNER" AS IT PERTAINS TO LIFE SETTLEMENT CONTRACTS?
THE POLICY OWNER OF THE LIFE INSURANCE POLICY
ALL OF THE FOLLOWING ARE TRUE ABOUT VARIABLE PRODUCTS EXCEPT:
THE PREMIUMS ARE INVESTED IN THE INSURER'S GENERAL ACCNT
ALL OF THE FOLLOWING ARE TRUE REGARDING THE GUARANTEED INSURABILITY RIDER EXCEPT:
THE RIDER IS AVAILABLE TO ALL INSUREDS WITH NO ADDITIONAL PREMIUM
UNDER AN EXTENDED NON FORFEITURE OPTION, THE POLICY CASH VALUE IS CONVERTED TO:
THE SAME FACE AMOUNT AS IN THE WHOLE LIFE POLICY
AN INSURED HAS CHOSEN JOINT AND 2/3 SURVIVOR AS THE SETTLEMENT OPTION. WHAT DOES THIS MEAN TO THE BENEFICIARIES?
THE SURVIVING BENEFICIARY WILL CONTINUE RECEIVING 2/3 OF THE BENEFIT PAID WHEN BOTH BENEFICIARIES WERE ALIVE.
WHICH OF THE FOLLOWING IS A STATEMENT THAT IS GUARANTEED TO BE TRUE, AND IF UNTRUE, MAY BREACH AN INSURANCE CONTRACT?
WARRANTY
WHEN WOULD A 20-PAY WHOLE LIFE POLICY ENDOW?
When the insured reaches age 100