Chapter 11 quiz
An individual covered under a group life insurance policy may convert the policy to any of the following except
Level term
Viatical settlements maybe rescinding within what time period after the Viater receives the proceeds?
15 days
Conversion to an individual whole life policy is permitted without evidence of insurability within how many days of the termination of employment?
31 days
How long is the grace period and group policies
31 days
How soon from the termination of debt under a credit life insurance policy must a creditor provide notice to the insurer?
60 days
If a policy owner surrenders his life insurance policy that has been in force for five years within 60 days after the premium due date, what will the insured be required to pay?
A cash surrender value
To which of the following situation does the replacement regulation apply?
A whole life policy re-issued with reduction in cash value
To which of the following situations does the replacement regulation apply?
A whole life policy re-issued with reduction in cash value
An insured in a group policy has mistated his age on the insurance application. As a result, the insurer will most likely
Adjust the premium
All of the following information must be disclosed to the variator prior to the execution of a viatical settlement contract except
Availability of stranger originated life insurance (STOLI)
All of the following statements are correct regarding credit life insurance except
Benefits are paid to the borrowers beneficiary
Which of the following is used to compare the cost of one life insurance policy against another in order to God prospective purchasers to policies that are competitively priced?
Cost comparison methods
The type of insurance sold to a debtor and design to pay the amount due on alone if the dead or dies before the loan is repaid is called
Credit Life
The type of insurance sold to a debtor and designed to pay them out due on a loan if the detter dies before the loan is repaid is called
Credit life
Regarding credit life insurance, who is responsible for reporting termination of debt to the insurer?
Creditor
Which of the following would be the beneficiary in credit life insurance?
Creditor
Which of the following is true about credit life insurance?
Creditor is the policy owner
Which of the following is true about credit life insurance
Creditor is the policyowner.
Which of the following is not allowed in credit life insurance?
Creditor requiring that a debtor buys insurance from a certain insurer
Which of the following types of insurance policies is most commonly used in credit life insurance?
Decreasing term
The usage of words or symbols that are similar to what entity is prohibited in life insurance advertisements?
Federal government
When possible, what should ensure strive to illuminate from illustrations?
Footnotes and caveats
What provision in life or health insurance policy extenze coverage beyond the premium due date?
Grace period
Which of the following must be included in all life insurance advertisement?
Identity of the actual insurer
Which of the following documents must be provided to the policy owner or applicatetduring policy replacement?
Notice regarding replacement
During replacement of life insurance, replacing insurer must do which of the following?
Obtain a list of all life insurance policies that will be replaced
If a person is compensated for a testimonial in an advertisement, Which of the following statements should be included in the advertisement
Paid endorsement
All of the following are mandatory life insurance policy provisions except
Policy backdating
All of the following are mandatory life insurance policy provisions except
Policyback dating
According to the state nonforfeiture law for life insurance policy, insurers must offer at least one of the following nonforfeiture options except
Reduction of premium
Which role 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
Which of the following may be included on an insurance advertisement?
Testimonials from compensated individuals
Which of the following is true regarding the insurance amount any credit life policy?
The creditor can only ensure the debtor for the amount owed
Which of the following is not required on an illustration used in the sale of a life insurance policy?
The name of the primary and secondary beneficiary
How much do replacing producer respond to an applicant wishing to replace existing life insurance?
The producer must provide the applicant with a notice regarding replacement
What is the main purpose of the regulation on life insurance policy illustrations?
To help customers make educated decisions in buying life insurance
Which of the following cannot be included along with illustrations used to sell life insurance?
Vanishing premium information
Upon the submission of a death claim under a laugh insurance policy, when must the insurer pay the policy benefit?
Within 2 months
Upon the submission of a death claim under a life insurance policy, when must the insurer pay the policy benefit?
Within two months
All advertisements are the responsibility of the
insurer
