NC Life Insurance Exam 2026 –
Comprehensive Questions with Verified
Correct Answers and Complete Solutions
(100% Accurate)
1. All of the following are included within the Insurance
Commissioner's duties EXCEPT
Writing North Carolina insurance laws.
Answer: Writing North Carolina
insurance laws.
2. Which of the following insurance providers must be
nonprofit and sell insurance only to its members?
Fraternal
Answer: Fraternal
3. 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?
Joint Life Policy
Answer: Joint Life Policy
4. 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 specifies that the death must not be contributed to
, by the insured in any manner. In this case, what will the
policy beneficiary receive?
$100,000
Answer: $100,000
5. In term policies, what happens to the premium
throughout the term of the policy?
Premium always remains level.
Answer: Premium always remains level.
6. An insurer neglects to pay a legitimate claim that is
covered under the terms of the policy. Which of the
following insurance principles has the insurer violated?
Consideration
Answer: Consideration
7. When the breadwinner that is insured by a Family
Policy dies, what rights are provided to other family
members that are covered under the policy?
They can convert their coverage to permanent life
insurance without evidence of insurability.
Answer: They can convert their
coverage to permanent life insurance
without evidence of insurability.
8. Forcing a client to buy insurance from a particular
lender as a condition of granting a loan is defined as
Coercion
Answer: Coercion
Comprehensive Questions with Verified
Correct Answers and Complete Solutions
(100% Accurate)
1. All of the following are included within the Insurance
Commissioner's duties EXCEPT
Writing North Carolina insurance laws.
Answer: Writing North Carolina
insurance laws.
2. Which of the following insurance providers must be
nonprofit and sell insurance only to its members?
Fraternal
Answer: Fraternal
3. 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?
Joint Life Policy
Answer: Joint Life Policy
4. 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 specifies that the death must not be contributed to
, by the insured in any manner. In this case, what will the
policy beneficiary receive?
$100,000
Answer: $100,000
5. In term policies, what happens to the premium
throughout the term of the policy?
Premium always remains level.
Answer: Premium always remains level.
6. An insurer neglects to pay a legitimate claim that is
covered under the terms of the policy. Which of the
following insurance principles has the insurer violated?
Consideration
Answer: Consideration
7. When the breadwinner that is insured by a Family
Policy dies, what rights are provided to other family
members that are covered under the policy?
They can convert their coverage to permanent life
insurance without evidence of insurability.
Answer: They can convert their
coverage to permanent life insurance
without evidence of insurability.
8. Forcing a client to buy insurance from a particular
lender as a condition of granting a loan is defined as
Coercion
Answer: Coercion
