Primerica Life insurance policy provisons, options and riders

What is the waiting period on a Waiver of Premium rider in life insurance policies?

6 months

Who can make changes to the policy once it is in effect?

An executive officer of the insurer

What limits the amount that a policyowner may borrow from a whole life insurance policy?

Cash value

When a policyowner designates a group of individuals as the beneficiary of a life insurance death benefit without specifically naming the individuals, this is called

Class designation.

Which nonforfeiture option has the highest amount of insurance protection?

Extended Term

J applied for a life insurance policy on January 10. The policy was issued on January 31. J's agent was vacationing at the time the policy was issued, so J did not receive the policy until February 18. J decides that he does not want the policy. When would J need to return the policy to the insurer in order to receive a full refund of premium paid?

February 28th, or 10 days after the time the policy is delivered.

Which of the following statements is TRUE about a policy assignment?

It transfers rights of ownership from the owner to another person.

Which of the following statements is TRUE concerning the Accidental Death Rider?

It will pay double or triple the face amount.

A rider attached to a life insurance policy that provides coverage on the insured's family members is called the

Other-insured rider.

The policyowner pays for her life insurance annually. Until now, she has collected a nontaxable dividend check each year. She has decided that she would rather use the dividends to help pay for her next premium. What option would allow her to do this?

Reduction of premium

The interest earned on policy dividends is

Taxable.

If an insured continually uses the automatic premium loan option to pay the policy premium,

The policy will terminate when the cash value is reduced to nothing.

Which is true about a spouse term rider?

The rider is usually level term insurance.

The Waiver of Cost of Insurance rider is found in what type of insurance?

Universal Life

All of the following are true regarding the guaranteed insurability rider EXCEPT

This rider is available to all insureds with no additional premium.