TEXAS GENERAL LINES LIFE, ACCIDENT AND HEALTH INSURANCE 2 LATEST
VERSIONS ACTUAL EXAM COMPLETE 500 QUESTIONS AND CORRECT DETAILED
ANSWERS (VERIFIED ANSWERS) |ALREADY GRADED A+ 2025/2026
What type of reinsurance contract involves two companies automatically sharing
their risk exposure? - Answer-Treaty
The stated amount or percent of liquid assets that an insurer must have on hand
that will satisfy future obligations to its policyholders is called - Answer-reserves
When third-party ownership is involved, applicants who also happen to be the
stated primary beneficiary are required to have - Answer-insurable interest
Statements made on an insurance application that are believed to be true to the
best of the applicant's knowledge are called - Answer-representations
The part of a life insurance policy guaranteed to be true is called a(n) - Answer-
warranty
Which of these is NOT a type of agent authority?
Express
Implied
Principal
Apparent - Answer-Principal
,The Consideration clause of an insurance contract includes - Answer-the schedule
and amount of premium payments
Which statement regarding the Misstatement of Age provision is considered to be
true?
-Coverage will be adjusted to reflect the insured's true age if a misstatement of
age is discovered
-Requires that a new policy must be applied for if a misstatement of age is found
on the current policy
-Misstatement of Age provision is valid only during the contestable period
-Insurer may void the policy if a misstatement of age is discovered - Answer-
Coverage will be adjusted to reflect the insured's true age if a misstatement of age
is discovered
J let her life insurance policy lapse 8 months ago due to nonpayment. She can
reestablish coverage under which of the following provisions? - Answer-
Reinstatement provision
T took out a $50,000 life insurance policy with an Accidental Death and
Dismemberment rider. Five years later, T commits suicide. How much will the
insurer pay? - Answer-50,000
, D was actively serving in the Marines when he was killed in an automobile
accident while on leave. His $100,000 Whole life policy contains a War Exclusion
clause. How much will D's beneficiary's receive? - Answer-$100,000
Which of these statements about a Guaranteed Insurability Option rider is NOT
TRUE?
-Coverage can be added at specific events such as marriage or having a child
-Evidence of insurability is not required when the option is exercised
-Evidence of insurability is required when the option is exercised
-Coverage can be added at specific ages - Answer-Evidence of insurability is
required when the option is exercised
An insured is past due on his life insurance premium, but is still within the Grace
Period. What will the beneficiary receive if the insured dies during this Grace
Period? - Answer-Full face amount minus any past due premiums
Which of these are NOT an example of a Nonforfeiture option?
-Extended Term
-Reduced Paid-up
-Cash Surrender
-Life Income - Answer-life income
When can a policyowner change a revocable beneficiary? - Answer-anytime
VERSIONS ACTUAL EXAM COMPLETE 500 QUESTIONS AND CORRECT DETAILED
ANSWERS (VERIFIED ANSWERS) |ALREADY GRADED A+ 2025/2026
What type of reinsurance contract involves two companies automatically sharing
their risk exposure? - Answer-Treaty
The stated amount or percent of liquid assets that an insurer must have on hand
that will satisfy future obligations to its policyholders is called - Answer-reserves
When third-party ownership is involved, applicants who also happen to be the
stated primary beneficiary are required to have - Answer-insurable interest
Statements made on an insurance application that are believed to be true to the
best of the applicant's knowledge are called - Answer-representations
The part of a life insurance policy guaranteed to be true is called a(n) - Answer-
warranty
Which of these is NOT a type of agent authority?
Express
Implied
Principal
Apparent - Answer-Principal
,The Consideration clause of an insurance contract includes - Answer-the schedule
and amount of premium payments
Which statement regarding the Misstatement of Age provision is considered to be
true?
-Coverage will be adjusted to reflect the insured's true age if a misstatement of
age is discovered
-Requires that a new policy must be applied for if a misstatement of age is found
on the current policy
-Misstatement of Age provision is valid only during the contestable period
-Insurer may void the policy if a misstatement of age is discovered - Answer-
Coverage will be adjusted to reflect the insured's true age if a misstatement of age
is discovered
J let her life insurance policy lapse 8 months ago due to nonpayment. She can
reestablish coverage under which of the following provisions? - Answer-
Reinstatement provision
T took out a $50,000 life insurance policy with an Accidental Death and
Dismemberment rider. Five years later, T commits suicide. How much will the
insurer pay? - Answer-50,000
, D was actively serving in the Marines when he was killed in an automobile
accident while on leave. His $100,000 Whole life policy contains a War Exclusion
clause. How much will D's beneficiary's receive? - Answer-$100,000
Which of these statements about a Guaranteed Insurability Option rider is NOT
TRUE?
-Coverage can be added at specific events such as marriage or having a child
-Evidence of insurability is not required when the option is exercised
-Evidence of insurability is required when the option is exercised
-Coverage can be added at specific ages - Answer-Evidence of insurability is
required when the option is exercised
An insured is past due on his life insurance premium, but is still within the Grace
Period. What will the beneficiary receive if the insured dies during this Grace
Period? - Answer-Full face amount minus any past due premiums
Which of these are NOT an example of a Nonforfeiture option?
-Extended Term
-Reduced Paid-up
-Cash Surrender
-Life Income - Answer-life income
When can a policyowner change a revocable beneficiary? - Answer-anytime
