Life Insurance Exam questions IDAHO
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with answers |\
Which of the following statements describes one of the
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reasons individuals purchase life insurance? - CORRECT
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ANSWERS ✔✔2. It creates an immediate estate. |\ |\ |\ |\ |\ |\
How long is the grace period for an individual life
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insurance policy? - CORRECT ANSWERS ✔✔1 month |\ |\ |\ |\ |\ |\
In this state the owner gets a "free look" of a specified
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number of days from - CORRECT ANSWERS ✔✔Delivery of
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the policy
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Which of the following would be likely to establish a SEP?
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- CORRECT ANSWERS ✔✔Smalls employers
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If a soliciting producer suspects that there could be
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misrepresentation on the part of the applicant for |\ |\ |\ |\ |\ |\ |\ |\
insurance, what must the producer do? - CORRECT |\ |\ |\ |\ |\ |\ |\ |\
ANSWERS ✔✔inform the insurance company |\ |\ |\ |\
Cash Value guarantees in a whole life policy are called -
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CORRECT ANSWERS ✔✔NONFORFEITURE VALUES. |\ |\ |\ |\
, Because permanent life insurance policies have cash
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values, there are certain guarantees that are built into
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the policy that cannot be forfeited by the policyowner.
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These guarantees (known as nonforfeiture values) are
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required by state law to be included in the policy. A table
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showing the nonforfeiture values must be included in the
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policy for a minimum period of 20 years. The policyowner
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has options as to how to exercise nonforfeiture values.
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Which of the following statements concerning the Medical
|\ |\ |\ |\ |\ |\ |\
Information Bureau is correct? - CORRECT ANSWERS
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✔✔4. The Medical Information Bureau assists
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underwriters in evaluating and classifying risks. |\ |\ |\ |\ |\
Which of the following riders pays a beneficiary a death
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benefit that is double or triple the face amount if the
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insured's death was caused by an accident as defined in
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the policy? - CORRECT ANSWERS ✔✔ACCIDENTAL DEATH
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RIDER. The Accidental Death Rider pays some multiple of
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the face amount if death is the result of an accident as
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defined in the policy. |\ |\ |\
If a retirement plan or annuity is qualified, this means -
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CORRECT ANSWERS ✔✔3. It satisfies IRS requirements for
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favorable tax treatment.
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with answers |\
Which of the following statements describes one of the
|\ |\ |\ |\ |\ |\ |\ |\ |\
reasons individuals purchase life insurance? - CORRECT
|\ |\ |\ |\ |\ |\ |\
ANSWERS ✔✔2. It creates an immediate estate. |\ |\ |\ |\ |\ |\
How long is the grace period for an individual life
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
insurance policy? - CORRECT ANSWERS ✔✔1 month |\ |\ |\ |\ |\ |\
In this state the owner gets a "free look" of a specified
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
number of days from - CORRECT ANSWERS ✔✔Delivery of
|\ |\ |\ |\ |\ |\ |\ |\
the policy
|\ |\
Which of the following would be likely to establish a SEP?
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
- CORRECT ANSWERS ✔✔Smalls employers
|\ |\ |\ |\ |\
If a soliciting producer suspects that there could be
|\ |\ |\ |\ |\ |\ |\ |\ |\
misrepresentation on the part of the applicant for |\ |\ |\ |\ |\ |\ |\ |\
insurance, what must the producer do? - CORRECT |\ |\ |\ |\ |\ |\ |\ |\
ANSWERS ✔✔inform the insurance company |\ |\ |\ |\
Cash Value guarantees in a whole life policy are called -
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
CORRECT ANSWERS ✔✔NONFORFEITURE VALUES. |\ |\ |\ |\
, Because permanent life insurance policies have cash
|\ |\ |\ |\ |\ |\ |\
values, there are certain guarantees that are built into
|\ |\ |\ |\ |\ |\ |\ |\ |\
the policy that cannot be forfeited by the policyowner.
|\ |\ |\ |\ |\ |\ |\ |\ |\
These guarantees (known as nonforfeiture values) are
|\ |\ |\ |\ |\ |\ |\
required by state law to be included in the policy. A table
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
showing the nonforfeiture values must be included in the
|\ |\ |\ |\ |\ |\ |\ |\ |\
policy for a minimum period of 20 years. The policyowner
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
has options as to how to exercise nonforfeiture values.
|\ |\ |\ |\ |\ |\ |\ |\
Which of the following statements concerning the Medical
|\ |\ |\ |\ |\ |\ |\
Information Bureau is correct? - CORRECT ANSWERS
|\ |\ |\ |\ |\ |\ |\ |\
✔✔4. The Medical Information Bureau assists
|\ |\ |\ |\ |\ |\
underwriters in evaluating and classifying risks. |\ |\ |\ |\ |\
Which of the following riders pays a beneficiary a death
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
benefit that is double or triple the face amount if the
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
insured's death was caused by an accident as defined in
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\
the policy? - CORRECT ANSWERS ✔✔ACCIDENTAL DEATH
|\ |\ |\ |\ |\ |\ |\
RIDER. The Accidental Death Rider pays some multiple of
|\ |\ |\ |\ |\ |\ |\ |\ |\
the face amount if death is the result of an accident as
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
defined in the policy. |\ |\ |\
If a retirement plan or annuity is qualified, this means -
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\
CORRECT ANSWERS ✔✔3. It satisfies IRS requirements for
|\ |\ |\ |\ |\ |\ |\
favorable tax treatment.
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