3/10/26, 9:27 AM Indiana Life Insurance EXAM, Complete Test || Questions and Answers (Verified Answers) (Latest Update 2026) UPDATE!! Flashca…
Indiana Life Insurance EXAM, Complete Test ||
Questions and Answers (Verified Answers) (Latest
Update 2026) UPDATE!!
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Terms in this set (197)
Which of the following is NOT a D. It provides for a tax-free death benefit.
characteristic of a Variable Annuity?
A. Premium Payments may be level
or flexible or single premium
B. The cash values are invested in
securities.
C. The non-forfeiture values will
provide for the return of the cash
value should the annuitant die during
the accumulation period.
D. It provides for a tax-free death
benefit.
All of the following policies provide D. Term Life
for the tax deferred accumulation of
cash value EXCEPT:
A. Interest Sensitive Whole Life
B. Single Premium Variable Annuity
C. Variable Universal Life
D. Term Life
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All of the following are true A. Policy loans are taxed as ordinary income
statements about the taxation of life
insurance benefits except:
A. Policy loans are taxed as ordinary
income
B. The cash value in a life insurance
policy grows on a tax deferred basis.
C. The interest earned on the
"interest" Settlement Option is taxed
as ordinary income.
D. The death benefit of a life policy is
received by the beneficiary federal
income tax free.
Which of the following statements is A. Death during the conversion period is covered
true about the Group Life conversion even if the departing employee chooses NOT to
privilege? convert to an individual policy.
a. Death during the conversion
period is covered even if the
departing employee chooses NOT
to convert to an individual policy.
b. The departing employee must pay
the premium if they elect to be
covered during the conversion
period.
c. If a departing employee elects to
convert their life insurance, the
company must offer Term insurance
as a choice.
d. Under the COBRA laws a
departing employee may elect to
remain a member of the Group Life
plan for a limited period of time.
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Which of the following is a A. Family Income Policy
combination of Decreasing Term and
Whole Life?
a. Family Income Policy
b. Family Maintenance Policy
c. Modified Life
d. Family Policy
A type of Annuity in which the cash Variable
values are invested in securities is
called:
a. Variable
b. Deferred
c. Joint and Survivorship
d. Flexible premium
Mary is receiving an annuity payout A. Nothing
from her Variable Straight Life
Annuity. Upon her death, which of
the following will be payable to her
estate?
a. Nothing
b. The policy death benefit
c. The remaining value of her
account
d. The total premiums paid into the
account, less the amount paid to
Mary in benefits
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What is decreasing in a Decreasing The Face Amount
Term policy?
a. The cash value
b. The premium
c. The face amount
d. The nonforfeiture values
Endowment policies can mature in B. The insured dies during the policy period or
two ways. What are they? reaches the endowment age as designated in the
policy.
a. The insured dies during the policy
period or annuitizes the policy after
age 59&1/2.
b. The insured dies during the policy
period or reaches the endowment
age as designated in the policy.
c. The insured dies during the policy
period or retires at age 59&1/2.
d. The insured dies or reaches age
100.
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Indiana Life Insurance EXAM, Complete Test ||
Questions and Answers (Verified Answers) (Latest
Update 2026) UPDATE!!
Save
Terms in this set (197)
Which of the following is NOT a D. It provides for a tax-free death benefit.
characteristic of a Variable Annuity?
A. Premium Payments may be level
or flexible or single premium
B. The cash values are invested in
securities.
C. The non-forfeiture values will
provide for the return of the cash
value should the annuitant die during
the accumulation period.
D. It provides for a tax-free death
benefit.
All of the following policies provide D. Term Life
for the tax deferred accumulation of
cash value EXCEPT:
A. Interest Sensitive Whole Life
B. Single Premium Variable Annuity
C. Variable Universal Life
D. Term Life
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,3/10/26, 9:27 AM Indiana Life Insurance EXAM, Complete Test || Questions and Answers (Verified Answers) (Latest Update 2026) UPDATE!! Flashca…
All of the following are true A. Policy loans are taxed as ordinary income
statements about the taxation of life
insurance benefits except:
A. Policy loans are taxed as ordinary
income
B. The cash value in a life insurance
policy grows on a tax deferred basis.
C. The interest earned on the
"interest" Settlement Option is taxed
as ordinary income.
D. The death benefit of a life policy is
received by the beneficiary federal
income tax free.
Which of the following statements is A. Death during the conversion period is covered
true about the Group Life conversion even if the departing employee chooses NOT to
privilege? convert to an individual policy.
a. Death during the conversion
period is covered even if the
departing employee chooses NOT
to convert to an individual policy.
b. The departing employee must pay
the premium if they elect to be
covered during the conversion
period.
c. If a departing employee elects to
convert their life insurance, the
company must offer Term insurance
as a choice.
d. Under the COBRA laws a
departing employee may elect to
remain a member of the Group Life
plan for a limited period of time.
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,3/10/26, 9:27 AM Indiana Life Insurance EXAM, Complete Test || Questions and Answers (Verified Answers) (Latest Update 2026) UPDATE!! Flashca…
Which of the following is a A. Family Income Policy
combination of Decreasing Term and
Whole Life?
a. Family Income Policy
b. Family Maintenance Policy
c. Modified Life
d. Family Policy
A type of Annuity in which the cash Variable
values are invested in securities is
called:
a. Variable
b. Deferred
c. Joint and Survivorship
d. Flexible premium
Mary is receiving an annuity payout A. Nothing
from her Variable Straight Life
Annuity. Upon her death, which of
the following will be payable to her
estate?
a. Nothing
b. The policy death benefit
c. The remaining value of her
account
d. The total premiums paid into the
account, less the amount paid to
Mary in benefits
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What is decreasing in a Decreasing The Face Amount
Term policy?
a. The cash value
b. The premium
c. The face amount
d. The nonforfeiture values
Endowment policies can mature in B. The insured dies during the policy period or
two ways. What are they? reaches the endowment age as designated in the
policy.
a. The insured dies during the policy
period or annuitizes the policy after
age 59&1/2.
b. The insured dies during the policy
period or reaches the endowment
age as designated in the policy.
c. The insured dies during the policy
period or retires at age 59&1/2.
d. The insured dies or reaches age
100.
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