Insurance :D almost done

Which of the following settlement options in life insurance is known as straight life?

Life Income

Which of the following is NOT true regarding policy loans?

Money borrowed from the cash value is taxable.

Death benefits payable to a beneficiary under a life insurance policy are generally

Not subject to income taxation by the Federal Government

An insured purchased a life policy in 2010 and died in 2020. The insurance company discovered at the time the insured had misstated information about her insurance history on the app. What will the insurer do?

Pay the death benefit

All of the following statements about equity index annuities are correct EXCEPT

The annuitant receives a fixed amount of return

All of the following statements about equity index annuities are correct except?

The annuitant receives a fixed amount of return

Which of the following is incorrect regarding $100,000 20 year level term policy?

At the end of 20 years, the policy's cash value will equal $100,000.

The proposed insured makes the premium payment on a new insurance policy. If the insured should die, the insurer will pay the death benefit to the beneficiary if the policy is approved. This is an example of what kind of contract?

Conditional

All of the following statements concerning dividends are true EXCEPT

Dividend amounts are guaranteed in the policy

An individual is purchasing a permanent life insurance policy with a face value of $25,000. What option should be included in the policy?

Guaranteed insurability option

All of the following are nonforfeiture OPTIONS EXCEPT Extended term Reduced paid up Interest only Cash surrender

Interest only

Which is NOT true about beneficiary designations?

The beneficiary must have insurable interest in the insured.

The insured had his wife named as the beneficiary of his life insurance policy. To ensure that his wife had income for life after the insureds death, he hose the life income settlement option. The amount of payments will be determined by taking into account all of the following EXCEPT:

The insureds age at death

Which of the following is TRUE about nonforfeiture VALUES?

They are required by state law to be included in the policy.

If only one party to an insurance contract made a legally enforceable promise, what kind of contract is it

Unilateral

Which component increases in the increasing term insurance?

death benefit

Fixed annuities provide all of the following EXCEPT

hedge against inflation

Who bears all of the investment risk in a fixed annuity?

insurance company