NC Life Insurance Practice
Exam Questions 2026
Comprehensive Questions and
Verified Answers/ Complete
Solutions| Get it 100% Accurate
All of the following are included within the Insurance Commissioner's duties
EXCEPT
a) Conducting investigation of all domestic insurers.
b) Reviewing the insurers' annual reports.
,c) Writing North Carolina insurance laws.
d) Reporting any violations of insurance laws to the Attorney General.
Writing insurance law is not the Insurance Commissioner's responsibility,
but enforcing the law is. - 🧠 ANSWER ✔✔c) Writing North Carolina
insurance laws.
Writing insurance law is not the Insurance Commissioner's responsibility,
but enforcing the law is.
Which of the following insurance providers must be nonprofit and sell
insurance only to its members?
a) Reciprocal
b) Fraternal
c) Service
d) Mutual - 🧠 ANSWER ✔✔b) Fraternal
,To be characterized as a fraternal benefit society, the organization must be
nonprofit, have a lodge system that includes ritualistic work and maintain a
representative form of government with elected officers. Insurance may
only be sold to members of the society.
A married couple owns a permanent policy which covers both of their lives
and pays the death benefit only upon the death of the first insured. Which
policy is that?
a)Second-to-Die
b)Family Income Policy
c)Joint Life Policy
d)Survivorship Life Policy - 🧠 ANSWER ✔✔c)Joint Life Policy
Joint life policies cover the lives of two insureds; rates are blended. Upon
the death of the first insured, the policy ends.
The insured under a $100,000 life insurance policy with a triple indemnity
rider for accidental death was killed in a car accident. It was determined
that the accident was his fault. The triple indemnity rider in the policy
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2026. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
, specifies that the death must not be contributed to by the insured in any
manner. In this case, what will the policy beneficiary receive?
a)$0
b)$50,000 (50% of the policy value)
c)$100,000
d)$300,000 (triple the amount of policy value) - 🧠 ANSWER ✔✔c)$100,000
The triple indemnity accidental death rider obligates the company to pay
three times the face amount of the policy if the insured dies as a result of
an accident. The death must be accidental and not contributed to by any
other factors and must occur within 90 days of the accident. In this case,
since the insured contributed to his own death, the triple indemnity rider is
void, but the beneficiary will still receive the policy's death benefit.
In term policies, what happens to the premium throughout the term of the
policy?
Exam Questions 2026
Comprehensive Questions and
Verified Answers/ Complete
Solutions| Get it 100% Accurate
All of the following are included within the Insurance Commissioner's duties
EXCEPT
a) Conducting investigation of all domestic insurers.
b) Reviewing the insurers' annual reports.
,c) Writing North Carolina insurance laws.
d) Reporting any violations of insurance laws to the Attorney General.
Writing insurance law is not the Insurance Commissioner's responsibility,
but enforcing the law is. - 🧠 ANSWER ✔✔c) Writing North Carolina
insurance laws.
Writing insurance law is not the Insurance Commissioner's responsibility,
but enforcing the law is.
Which of the following insurance providers must be nonprofit and sell
insurance only to its members?
a) Reciprocal
b) Fraternal
c) Service
d) Mutual - 🧠 ANSWER ✔✔b) Fraternal
,To be characterized as a fraternal benefit society, the organization must be
nonprofit, have a lodge system that includes ritualistic work and maintain a
representative form of government with elected officers. Insurance may
only be sold to members of the society.
A married couple owns a permanent policy which covers both of their lives
and pays the death benefit only upon the death of the first insured. Which
policy is that?
a)Second-to-Die
b)Family Income Policy
c)Joint Life Policy
d)Survivorship Life Policy - 🧠 ANSWER ✔✔c)Joint Life Policy
Joint life policies cover the lives of two insureds; rates are blended. Upon
the death of the first insured, the policy ends.
The insured under a $100,000 life insurance policy with a triple indemnity
rider for accidental death was killed in a car accident. It was determined
that the accident was his fault. The triple indemnity rider in the policy
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2026. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
, specifies that the death must not be contributed to by the insured in any
manner. In this case, what will the policy beneficiary receive?
a)$0
b)$50,000 (50% of the policy value)
c)$100,000
d)$300,000 (triple the amount of policy value) - 🧠 ANSWER ✔✔c)$100,000
The triple indemnity accidental death rider obligates the company to pay
three times the face amount of the policy if the insured dies as a result of
an accident. The death must be accidental and not contributed to by any
other factors and must occur within 90 days of the accident. In this case,
since the insured contributed to his own death, the triple indemnity rider is
void, but the beneficiary will still receive the policy's death benefit.
In term policies, what happens to the premium throughout the term of the
policy?
