Life

The death benefit under the Universal life Option B

Gradually increases each year by the amount that the cash value increases.

If a life policy allows the policyowner to make periodic additions to the face amount at standard rates, without proving insurability, the policy includes a

Guaranteed insurability rider

Which of the following information about the applicant is NOT included on Part 1 of the application for insurance?

Medical Background

Insurance illustrations

They must be part of the contract

Avoidance

When someone avoids doing things that will put them in harms way.

If a producer has been found guilty of any violations of the provisions of the insurance Code, in addition to or instead of the suspension, revocation, or refusal to renew a producer's license, the Commissioner may levy a fine upon the licensee, up to?

1000 per offense

How long for a Full refund of premiums when individual life insurance policy is being replaced by an insurer using an agent?

20 days

All of the following are requirements for life insurance illustrations

They must be part of the contract.

Which of the following is NOT a goal of risk retention?

To fund losses, reduce expenses and improve cash flow, increase control of claims.

If an insured receives accelerated death benefits, what is the least amount of the original death benefits that the beneficiary would receive after the insured's death?

0%

Any licensed person whose activities affect interstate commerce and who knowingly makes false material statements related to the business of insurance may be imprisoned for up to?

10 years

How long does any person receiving written notification of the Commissioner's order have to respond and request a hearing?

90 days

Which of the following qualifications is required for producers who want to sell annuities in this state?

A life insurance license and a 4 hour training course

What is a foreign insurer?

An insurer that lives in 1 state and conducts business in another state.

An insurer neglects to pay a legitimate claim that is covered under the terms of the policy. Which of the following insurance principles has the insurer violated?

Consideration

When an employer offers to give an employee a wage increase in the amount of the premium on a new life insurance policy, this is called an

Executive bonus

What required provision protects against unintentional lapse of the policy?

Grace period

Which statement regarding insurable risks in NOT correct?

Insureds cannot be randomly selected.

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

It will pay double or triple indemnity rider.

Which of the following is true regarding a waiver of the surrender charge on an annuity contract?

The charge can only be waived if the annuitant needs the funds for medical expenses.

An Adjustable Life policyowner can change which of the following policy features?

The coverage period.

In comparison to consumer reports, which of the following describes a unique characteristic of investigative consumer reports?

The customer's associates, friends and neighbors provide the report's data.

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

A producer just completed a continuing education (CE) course. When would the producer be allowed to repeat the same course as part of his CE requirement?

After 3 years

Items stipulated in the contract that the insurer will not provide coverage for are found in what?

Exclusions clause

Which policy component decreases in decreasing term insurance?

Face amount

What type of insurance would be used for a Return of Premium rider?

Increasing Term

What type of insurance would be used for a Return of Premium rider?

Increasing term

Under a group plan for an Association, the term "employee" may include?

Retired employees of the association.

A life insurance policy does not have a war clause. If the insured is killed during a time of war, what will the beneficiary receive from the policy?

The full death benefit.

What is the term for how frequently a policyowner is required to pay the policy premium

Mode

Which of the following is TRUE about nonforfeiture values?

They are required by state law to be included in the policy

When would a 20-pay whole life policy endow?

When the insured reaches age 100