Learn as you go 2

By what date must agents complete the required continuing education

By the last day of the licensee Birth month every 2 years

All of the following employees may use 403b plan for Their retirement EXCEPT?

CEO of a private corporation

Which of the following must an insurer obtain in order to transact insurance within a given state?

Certificate Authority

A person who knowingly obtains information about an individual from an agent or the insurer under false pretenses has committed a

Class 1 misdemeanor

What happens when a policy is surrended for its cash value?

Coverage ends and the policy cannot be reinstated

An insurance institution or agent that discloses information in violation of the information privacy and disclosure statutes of North Carolina will be liable for

Damages sustained by the individual to whom the information relates

Which of the following types of Insura policies is most commonly used in credit life insurance?

Equity indexed life

Which non forfeiture option has the highest amount of insurance protection? a. extended term b. conversion c. decreasing term d. reduced paid-up

Extended term

Which of the following will be considered a advantage of owing term insurance?

It provides the highest amount of coverage for a temporary period of time

An insured buys a 5-year level premium term policy with a face amount of $10,000. The policy also contains renewability and convertibility options. When the insured renews the policy in 5 years, what will happen to the premium?

It will increase because the insured will be 5 years older than when the policy was originally purchased.

Which statement is not true regarding straight life insurance?

It's premium steadily decreases over time in response to its growing cash value

Your client wants both protection and savings from the insurance, and is willing to pay premiums until retirement at age 65. What would be the right policy for this client?

Limited pay whole life

Which of the following explain the policy owners rights to change beneficiary choose options and receive proceeds of the policy?

Owners rights

An insured has had a life insurance policy that he purchased 3 years ago when he was 40 years old. He is killed in an automobile accident and it is discovered that he is actually 45 years old, and not 43, as stated on the application. What will the company do?

Pay a reduced death benefit

What his the main purpose of the life and health insurance guaranty association?

Protect consumers against insolvent insurers

An individual who sells insurance solely as a foreign military sales agent woks I with a?

Restricted license

Viatical Settlement is arranged between a viatical an a ?

Terminally Ill insured

All of the following are true regarding a decreasing term policy EXCEPT?

The payable premium amount steadily declines throughout the duration of the contract. (Premiums remain level with a decreasing term policy; only the face amount decreases.)

Which of the following determines the cash value of a variable life policy?

The performance of the policy portfolio

The commissioner is empowered to examine the records of any person transactions insurance in the estate as agency or broker of record. If the commissioner does examínate a person the expense of that examination will be paid by?

The person examined

All of the following are true of key person insurance EXCEPT?

The plan is funded by permanent insurance only.

Which is true about a spouse term rider?

The rider is usually level term insurance.

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.

All of the following identify purpose of the insurance information an privacy Act EXCEPT?

To establish fair and marketable advertisements procedures

What is the purpose of establishing the target premium for a universal life policy?

To keep the policy in force

Which of the following policies would have an IRS required corridor or gap between the cash value and the death benefit?

Universal Life - Option A

Which of the following products requires a securities license?

Variable annuity

If the annuitant dies during the accumulation period, who will receive the annuity benefits?

beneficiary

Forcing a client to buy insurance from a particular lender as a condition of granting a loan is defined as

coercion

Children Riders attached a whole life policies are usually issued as what type of insurance

term

A father owns a life insurance policy on his 15-year-old daughter. The policy contains the optional Payor Benefit rider. If the father becomes disabled, what will happen to the life insurance premiums?

the insured's premiums will be waived until she is 21.

Which of the following riders would NOT cause the Death Benefit to increase?

payor benefit rider

All statements of the insured in any application for a policy of insurance are deemed?

representations

A policy owner fails to pay the premium on his whole life after the grace period passes but the policy remains in force. This is due to the?

automatic premium loan added to contracts with a cash value at no additional charge. this is a special type of loan that prevents the unintentional lapse of a policy due to nonpayment of a premium