Practice Exam LLQP 150 Questions
with Guaranteed Pass Solutions 2025-
2026 Updated.
What kind of life insurance beneficiary requires his/her consent when a change of beneficiary is
made?
*Irrevocable beneficiary
*Tertiary beneficiary
*Primary beneficiary
*Revocable beneficiary - Answer *Irrevocable beneficiary
(An irrevocable designation may not be changed without the written consent of the
beneficiary.)
When can a policyowner change a revocable beneficiary?
*Anytime
*After the consent of the current beneficiary
*Never
*Only if primary beneficiary dies - Answer *Anytime
(With a revocable beneficiary designation, the policyowner may change the beneficiary at any
time without notifying or getting permission from the beneficiary.)
M purchased an Accidental Death and Dismemberment (AD&D) policy and named his son as
beneficiary. M has the right to change the beneficiary designation at anytime. What type of
beneficiary is his son?
*Tertiary
*Irrevocable
*Revocable
*Contingent - Answer *Revocable
(With a revocable beneficiary designation, the policyowner may change the beneficiary at any
time without notifying or getting permission from the beneficiary.)
,How would a contingent beneficiary receive the policy proceeds in an Accidental Death and
Dismemberment (AD&D) policy?
*If the primary beneficiary is a minor at the time of the insured's death
*If the primary beneficiary dies before the insured
*If the insured died of accidental causes
*If the insured died of natural causes - Answer *If the primary beneficiary dies before the
insured
(A contingent beneficiary will receive the policy proceeds if the primary beneficiary dies before
the insured's death.)
Which statement regarding the Change of Beneficiary provision is true?
*The beneficiary can only be changed with the consent of the insurer
*The policyowner can change the beneficiary
*The insured can change the beneficiary
*A beneficiary change is subject to underwriting procedures - Answer *The policyowner can
change the beneficiary
(A policyowner may change a beneficiary at any time. However, consent may be needed by the
current beneficiary if designated as irrevocable.)
A policyowner would like to change the beneficiary on a Life insurance policy and make the
change permanent. Which type of designation would fulfill this need?
*Revocable
*Contingent
*Irrevocable
*Primary - Answer *Irrevocable
(An irrevocable designation may not be changed without the written consent of the
beneficiary.)
What is the underlying concept regarding level premiums?
,*Level premiums build cash value quicker in the early years
*The early years are charged more than what is needed
*The early years are charged less than what is needed
*Level premiums can only be paid annually - Answer *The early years are charged more
than what is needed
(The concept of level premiums charges more than needed in early years.)
A policyowner is able to choose the frequency of premium payments through what policy
feature?
*Consideration
*Payor benefit
*Premium Mode
*Assignment provision - Answer (Premium Mode is the feature that allows the policyowner
to select the timing of premium payment, such as monthly, quarterly, annually etc.)
A life insurance application must be signed by all of these EXCEPT
*the policyowner
*the agent
*the insured (if an adult)
*beneficiary - Answer *beneficiary
()
M completes an application for life insurance but does not pay the initial premium. All of these
actions must occur before M's policy goes into effect EXCEPT
*policy is delivered
*free-look period has expired
*insurance company issues policy
*initial premium is collected - Answer *free-look period has expired
(In this situation, the policy will go into effect after all these actions occur EXCEPT the expiration
of the free-look period.)
, A noncontributory group term life plan is characterized by
*the entire cost of the plan is paid for by the employer
*the entire cost of the plan is paid for by the employee
*the cost of the plan is shared by both employer and employee
*both employer and employee must provide evidence of insurability - Answer *the entire
cost of the plan is paid for by the employer
(When an employer provides noncontributory group term life insurance, the employer pays the
entire cost of the plan.)
Who is NOT required to sign a life insurance application?
*Adult insured
*Policyowner
*Agent
*Beneficiary - Answer *Beneficiary
(All of the following individuals must sign a life insurance application EXCEPT the beneficiary.)
On August 6, D submitted an application for a $50,000 Life Insurance policy and did not pay the
initial premium. On August 18, D went to his doctor complaining of chest pains and some tests
were given by the doctor. The life policy was delivered by the producer on August 20 and D
explains what had recently taken place with the doctor. What action should the producer then
take?
*Collect initial premium
*Collect initial premium along with a signed health statement
*Explain to the applicant the policy is no longer in effect due to change in health condition
*Collect initial premium and leave a binding receipt - Answer *Collect initial premium along
with a signed health statement
(In this situation, the producer should deliver the policy and obtain the premium payment along
with a signed health statement.)
If its employees share in the cost of insurance, what type of group life insurance plan would a
corporation have?
with Guaranteed Pass Solutions 2025-
2026 Updated.
What kind of life insurance beneficiary requires his/her consent when a change of beneficiary is
made?
*Irrevocable beneficiary
*Tertiary beneficiary
*Primary beneficiary
*Revocable beneficiary - Answer *Irrevocable beneficiary
(An irrevocable designation may not be changed without the written consent of the
beneficiary.)
When can a policyowner change a revocable beneficiary?
*Anytime
*After the consent of the current beneficiary
*Never
*Only if primary beneficiary dies - Answer *Anytime
(With a revocable beneficiary designation, the policyowner may change the beneficiary at any
time without notifying or getting permission from the beneficiary.)
M purchased an Accidental Death and Dismemberment (AD&D) policy and named his son as
beneficiary. M has the right to change the beneficiary designation at anytime. What type of
beneficiary is his son?
*Tertiary
*Irrevocable
*Revocable
*Contingent - Answer *Revocable
(With a revocable beneficiary designation, the policyowner may change the beneficiary at any
time without notifying or getting permission from the beneficiary.)
,How would a contingent beneficiary receive the policy proceeds in an Accidental Death and
Dismemberment (AD&D) policy?
*If the primary beneficiary is a minor at the time of the insured's death
*If the primary beneficiary dies before the insured
*If the insured died of accidental causes
*If the insured died of natural causes - Answer *If the primary beneficiary dies before the
insured
(A contingent beneficiary will receive the policy proceeds if the primary beneficiary dies before
the insured's death.)
Which statement regarding the Change of Beneficiary provision is true?
*The beneficiary can only be changed with the consent of the insurer
*The policyowner can change the beneficiary
*The insured can change the beneficiary
*A beneficiary change is subject to underwriting procedures - Answer *The policyowner can
change the beneficiary
(A policyowner may change a beneficiary at any time. However, consent may be needed by the
current beneficiary if designated as irrevocable.)
A policyowner would like to change the beneficiary on a Life insurance policy and make the
change permanent. Which type of designation would fulfill this need?
*Revocable
*Contingent
*Irrevocable
*Primary - Answer *Irrevocable
(An irrevocable designation may not be changed without the written consent of the
beneficiary.)
What is the underlying concept regarding level premiums?
,*Level premiums build cash value quicker in the early years
*The early years are charged more than what is needed
*The early years are charged less than what is needed
*Level premiums can only be paid annually - Answer *The early years are charged more
than what is needed
(The concept of level premiums charges more than needed in early years.)
A policyowner is able to choose the frequency of premium payments through what policy
feature?
*Consideration
*Payor benefit
*Premium Mode
*Assignment provision - Answer (Premium Mode is the feature that allows the policyowner
to select the timing of premium payment, such as monthly, quarterly, annually etc.)
A life insurance application must be signed by all of these EXCEPT
*the policyowner
*the agent
*the insured (if an adult)
*beneficiary - Answer *beneficiary
()
M completes an application for life insurance but does not pay the initial premium. All of these
actions must occur before M's policy goes into effect EXCEPT
*policy is delivered
*free-look period has expired
*insurance company issues policy
*initial premium is collected - Answer *free-look period has expired
(In this situation, the policy will go into effect after all these actions occur EXCEPT the expiration
of the free-look period.)
, A noncontributory group term life plan is characterized by
*the entire cost of the plan is paid for by the employer
*the entire cost of the plan is paid for by the employee
*the cost of the plan is shared by both employer and employee
*both employer and employee must provide evidence of insurability - Answer *the entire
cost of the plan is paid for by the employer
(When an employer provides noncontributory group term life insurance, the employer pays the
entire cost of the plan.)
Who is NOT required to sign a life insurance application?
*Adult insured
*Policyowner
*Agent
*Beneficiary - Answer *Beneficiary
(All of the following individuals must sign a life insurance application EXCEPT the beneficiary.)
On August 6, D submitted an application for a $50,000 Life Insurance policy and did not pay the
initial premium. On August 18, D went to his doctor complaining of chest pains and some tests
were given by the doctor. The life policy was delivered by the producer on August 20 and D
explains what had recently taken place with the doctor. What action should the producer then
take?
*Collect initial premium
*Collect initial premium along with a signed health statement
*Explain to the applicant the policy is no longer in effect due to change in health condition
*Collect initial premium and leave a binding receipt - Answer *Collect initial premium along
with a signed health statement
(In this situation, the producer should deliver the policy and obtain the premium payment along
with a signed health statement.)
If its employees share in the cost of insurance, what type of group life insurance plan would a
corporation have?
