Life, Premiums and Benefits

which statement regarding the Change of Beneficiary provision is true?

the policyowner can change the beneficiary

a level premium indicates:

the premium is fixed for the entire duration of the contract

A policyowner is able to choose the frequency of premium payments through what policy feature?

Premium Mode

T and S are named co-primary beneficiaries on a $500,000 Accidental Death and Dismemberment policy insuring their father. Their mother was named contingent beneficiary. Five years later, S dies of natural causes and the father is killed in a scuba accident shortly afterwards. How much of the death benefit will the mother receive?

0 b/c T is still alive and the sole primary beneficiary

What percent of personal life insurance premiums is usually deductible for federal income tax purposes?

0%

If the insured and primary beneficiary are both killed in the same accident and it cannot be determined who died first, where are the death proceeds to be directed under the Uniform Simultaneous Death Act?

Insured's contingent beneficiary

A policyowner's rights are limited under which beneficiary designation?

Irrevocable

What kind of life insurance beneficiary requires his/her consent when a change of beneficiary is made?

Irrevocable beneficiary

P and Q are married and have three children. P is the primary beneficiary on Q's Accidental Death and Dismemberment (AD&D) policy and Q's sister R is the contingent beneficiary. P, Q, and R are involved in a car accident and Q and R are killed instantly. The Accidental Death benefits will be paid to:

P only

On a life insurance policy, who is qualified to change the beneficiary designation?

Policyowner

C is trying to determine whether to convert her convertible term life policy to whole life insurance using her original age or attained age. What factor would affect her decision the most?

The cost

The Common Disaster clause provides that if both the insured and the sole named beneficiary were to die in a common accident, which of the following is true?

This clause provides the payment of proceeds to the insured's estate

K has a life insurance policy where her husband is beneficiary and her daughter is contingent beneficiary. Under the Common Disaster clause, if K and her husband are both killed in an automobile accident, where would the death proceeds be directed?

daughter

A policyowner is allowed to pay premiums more than once a year under which provision?

mode of premium