WEST VIRGINIA LIFE INSURANCE EXAM
AND PRACTICE EXAM 2026/2027 WITH
ACTUAL CORRECT QUESTIONS AND
VERIFIED DETAILED ANSWERS
|CURRENTLY TESTING QUESTIONS AND
SOLUTIONS|ALREADY GRADED A+|NEWEST
|BRAND NEW VERSION|JUST RELEASED!!
An individual has just borrowed $10,000 on a five year note from his bank. The note is due in
installments. What type of life insurance policy would be the best suited for the situation?
Decreasing term
Who bears the investment risk in a fixed annuity?
insurer
In an annuity that accumulated money is converted into a stream of income, during which
phase?
Annuitization period
What policy component must decrease in decreasing term insurance?
Face amount
Whole life insurance policies, mature when the insured reaches the age of 100. If the owner of a
whole life policy (the insured) dies at age 80, and there are no outstanding loans on the policy,
what portion of the death benefit will be paid to the beneficiary?
The full death benefit
1|Page
,What type of whole life insurance policy generates immediate cash value?
Single premium whole life
What happens to the premium in an annual renewable term policy?
The Premium increases with each renewal
When would a 20-pay whole life policy endow?
When the insured reaches age 100
An annuity purchase with multiple payments that begin income payments after one year from
the moment of purchase is known as what type of annuity?
Flexible premium deferred annuity
With a single premium deferred annuity when will the annuity payments become available?
No sooner than 1 year after the annuity purchase
Under option B in a universal life policy what happens to the death benefit?
Under Option B, the death benefit increases each year by the amount of the cash value
increases
Whole life policies provide protection, until the insured reaches what age?
Age 100
How long will a life annuity with a 15 year period certain pay?
For the life of the annuitant unless he/she dies within the first 15 years of the annuitization
period; then the payments will last for 15 years
What type of life insurance policy is life paid up at age 65?
Limited pay whole life
What happens to the cash value when a whole life insurance policy matures?
2|Page
, Cash value is paid to the policyowner
And a joint life policy when is the death benefit paid?
Upon the first death
Mortality tables are used by insurance companies to predict what?
Life expectancy and the death rates for specific groups of individuals
Who's life expectancy is taken into consideration in an annuity contract?
Annuitant
If there is no named beneficiary for the annuity benefits, to which entity will the benefits be
paid?
Annuitant's estate
What type of assignment is used to secure the payment of a debt with an existing life insurance
policy?
collateral assignment
What happens to a policies cash value under an extended term non-forfeiture option?
The cash value is converted to the same face amount as in the whole life policy
Which of the two types of policy assignments requires transfer of all ownership rights in the
policy to a third-party
Absolute assignment
What settlement options are available in life insurance policies
Lump-sum/cash, fixed period, fixed amount, life income, interest only
What life policy writer allows the company to forgo collecting the premium if the insured
becomes disabled?
Waiver of Premium
3|Page
AND PRACTICE EXAM 2026/2027 WITH
ACTUAL CORRECT QUESTIONS AND
VERIFIED DETAILED ANSWERS
|CURRENTLY TESTING QUESTIONS AND
SOLUTIONS|ALREADY GRADED A+|NEWEST
|BRAND NEW VERSION|JUST RELEASED!!
An individual has just borrowed $10,000 on a five year note from his bank. The note is due in
installments. What type of life insurance policy would be the best suited for the situation?
Decreasing term
Who bears the investment risk in a fixed annuity?
insurer
In an annuity that accumulated money is converted into a stream of income, during which
phase?
Annuitization period
What policy component must decrease in decreasing term insurance?
Face amount
Whole life insurance policies, mature when the insured reaches the age of 100. If the owner of a
whole life policy (the insured) dies at age 80, and there are no outstanding loans on the policy,
what portion of the death benefit will be paid to the beneficiary?
The full death benefit
1|Page
,What type of whole life insurance policy generates immediate cash value?
Single premium whole life
What happens to the premium in an annual renewable term policy?
The Premium increases with each renewal
When would a 20-pay whole life policy endow?
When the insured reaches age 100
An annuity purchase with multiple payments that begin income payments after one year from
the moment of purchase is known as what type of annuity?
Flexible premium deferred annuity
With a single premium deferred annuity when will the annuity payments become available?
No sooner than 1 year after the annuity purchase
Under option B in a universal life policy what happens to the death benefit?
Under Option B, the death benefit increases each year by the amount of the cash value
increases
Whole life policies provide protection, until the insured reaches what age?
Age 100
How long will a life annuity with a 15 year period certain pay?
For the life of the annuitant unless he/she dies within the first 15 years of the annuitization
period; then the payments will last for 15 years
What type of life insurance policy is life paid up at age 65?
Limited pay whole life
What happens to the cash value when a whole life insurance policy matures?
2|Page
, Cash value is paid to the policyowner
And a joint life policy when is the death benefit paid?
Upon the first death
Mortality tables are used by insurance companies to predict what?
Life expectancy and the death rates for specific groups of individuals
Who's life expectancy is taken into consideration in an annuity contract?
Annuitant
If there is no named beneficiary for the annuity benefits, to which entity will the benefits be
paid?
Annuitant's estate
What type of assignment is used to secure the payment of a debt with an existing life insurance
policy?
collateral assignment
What happens to a policies cash value under an extended term non-forfeiture option?
The cash value is converted to the same face amount as in the whole life policy
Which of the two types of policy assignments requires transfer of all ownership rights in the
policy to a third-party
Absolute assignment
What settlement options are available in life insurance policies
Lump-sum/cash, fixed period, fixed amount, life income, interest only
What life policy writer allows the company to forgo collecting the premium if the insured
becomes disabled?
Waiver of Premium
3|Page
