Primerica (Life insurance and annuities policy replacement and cancellation)

To which of the following products does the Replacement Regulation apply?

Whole life insurance

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

An insurer has been found guilty of a Code violation regarding replacement. The insurer then repeats the violation. What will be the minimum penalty?

$30,000

Any insurance agent who commits a repeated violation of the Insurance Code with respect to insurance replacement will be liable for

An administrative penalty of no less than $5,000 and no more than $50,000 per violation.

A legally acceptable attempt by an existing insurer to dissuade a current policy owner from the replacement of existing life insurance is called

Conservation.

Which of the following is true regarding a policy with a face value less than $10,000?

If it's returned during the free look period, the agreement will be void.

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.

All insurance policies and annuity contracts delivered to senior citizens in the State of California are subject to a cancellation period of at least

30 days

Every policy of individual life insurance must include a notice of right to cancel the policy, stating the specific time frame for the free-look period. Once the insured has cancelled the policy, within how many days must the insurer refund all premiums and policy fees?

30 days

During the cancellation period, an insurer must refund any premiums and policy fees within how many days of written cancellation notice by the insured?

30

Which of the following insureds has a right to cancel an individual life policy within 30 days?

Insureds 60 years of age of older

An insured has the right to cancel a policy by written notification to the insurer. This notification may be mailed to the insurer or returned to the original agent who made the sale. Upon receipt of the cancellation request, the insurer will

Refund any premiums and policy fees within 30 days of notice if the policy is within the cancellation period specified by the insurer.