NC Insurance Agent Life Exam
Questions and Answers 100%
PASS
Which of the following can surrender a deferred annuity contract?—ANSWER--Only the
annuity owner
Types of Annuities—ANSWER--fixed, variable, equity-indexed
Fixed Annuities—ANSWER--A type of annuity that provides a guaranteed fixed benefit
amount, payable for the life of the annuitant
Variable Annuity—ANSWER--Annuity that has a varying rate of return based on the mutual
funds in which one has invested
Equity Indexed Annuity—ANSWER--The annuity that has a guaranteed minimum interest
rate and allows the annuitant to invest money in an index (i.e.: S&P 500). The investments
grow as the index grows.
Which of the following are not fundable by annuities?—ANSWER--Death benefits
Under which of the following annuity options does the annuitant select the time period for
the benefits, and the insurer determines how much each payment will be?—ANSWER--
Installments for a fixed period
, B just bought a new car, which he anticipated will be paid for 4 years from now. He also
wants to buy a life insurance policy, but is financially limited until the car is paid off. Which of
the following types of policies would be best for B?—ANSWER--Modified Life
Which of the following policies would have an IRS required corridor or gap between the cash
value and the death benefit?—ANSWER--Universal Life - Option A
Which of the following features of the Indexed Whole Life policy is not fixed?—ANSWER--
Cash value growth
Your customer doesn't mind paying a higher premium as long as he gets a life insurance
product that would allow for a faster growth of the cash value. What kind of policy would
you recommend?—ANSWER--An endowment policy
Adjustable Life—ANSWER--Increase or decrease the premium of the premium-paying period
Increase or decrease the face amount
Change the period of protection
Universal Life—ANSWER--A combination of a flexible premium and adjustable life insurance.
Universal Life Option A—ANSWER--Level death benefit
Universal Life Option B—ANSWER--Increasing death benefit (insurance amount plus cash
account)
whole life insurance—ANSWER--Insurance that is kept in force for a person's entire life and
pays a benefit upon the person's death, whenever that may be.
Whole Life (ordinary life)—ANSWER--Protects for the whole life. Assumes premiums will be
paid for the entire life time.
© 2026 Copyright. All Rights Reserved. This document is
protected by copyright law, Copyrighted By Brittie Donald
Questions and Answers 100%
PASS
Which of the following can surrender a deferred annuity contract?—ANSWER--Only the
annuity owner
Types of Annuities—ANSWER--fixed, variable, equity-indexed
Fixed Annuities—ANSWER--A type of annuity that provides a guaranteed fixed benefit
amount, payable for the life of the annuitant
Variable Annuity—ANSWER--Annuity that has a varying rate of return based on the mutual
funds in which one has invested
Equity Indexed Annuity—ANSWER--The annuity that has a guaranteed minimum interest
rate and allows the annuitant to invest money in an index (i.e.: S&P 500). The investments
grow as the index grows.
Which of the following are not fundable by annuities?—ANSWER--Death benefits
Under which of the following annuity options does the annuitant select the time period for
the benefits, and the insurer determines how much each payment will be?—ANSWER--
Installments for a fixed period
, B just bought a new car, which he anticipated will be paid for 4 years from now. He also
wants to buy a life insurance policy, but is financially limited until the car is paid off. Which of
the following types of policies would be best for B?—ANSWER--Modified Life
Which of the following policies would have an IRS required corridor or gap between the cash
value and the death benefit?—ANSWER--Universal Life - Option A
Which of the following features of the Indexed Whole Life policy is not fixed?—ANSWER--
Cash value growth
Your customer doesn't mind paying a higher premium as long as he gets a life insurance
product that would allow for a faster growth of the cash value. What kind of policy would
you recommend?—ANSWER--An endowment policy
Adjustable Life—ANSWER--Increase or decrease the premium of the premium-paying period
Increase or decrease the face amount
Change the period of protection
Universal Life—ANSWER--A combination of a flexible premium and adjustable life insurance.
Universal Life Option A—ANSWER--Level death benefit
Universal Life Option B—ANSWER--Increasing death benefit (insurance amount plus cash
account)
whole life insurance—ANSWER--Insurance that is kept in force for a person's entire life and
pays a benefit upon the person's death, whenever that may be.
Whole Life (ordinary life)—ANSWER--Protects for the whole life. Assumes premiums will be
paid for the entire life time.
© 2026 Copyright. All Rights Reserved. This document is
protected by copyright law, Copyrighted By Brittie Donald
