Pearson Vue Life Insurance Practice Exam | Questions & Expertly Verified Answers – 2026 | 2027 (Rated A)

Pearson Vue Life Insurance Practice Exam | Questions & Expertly Verified Answers – 2026 | 2027 (Rated A) Quiz_________________? A - ANSWER A client needs a substantial amount of protection but has limited financial resources. Which of the following insurance policies would BEST meet the client's needs? A.Term Life B.Adjustable Life C.Whole Life D.Limited-Pay Life Quiz_________________? A - ANSWER A policyowner names his wife as the primary beneficiary of his Universal Life policy on a revocable basis. He also names his three children as his secondary beneficiaries and his estate as his tertiary beneficiary. If the policyowner's wife predeceases him, and then he dies, who will receive the policy proceeds? A.The children B.The policyowner's estate C.The primary beneficiary's estate D.The tertiary beneficiary Quiz_________________? A - ANSWER A type of annuity in which the cash values are invested in securities is called: A.Variable B.Deferred C.Fixed D.Joint and survivorship Quiz_________________? A - ANSWER All of the following policies may be examples of third party ownership EXCEPT: A.Modified Life B.Group Life C.Split-dollar Life D.Key Employee Life Quiz_________________? A - ANSWER In the event of an insured's death, which of the following provides an income for the family during a designated period of time followed by a lump sum death benefit? A.Family Income rider B.Survivorship Life policy C.Joint Life policy D.Modified Life policy Quiz_________________? A - ANSWER The Waiver of Premium provision of a life policy allows the insurer to take which of the following actions? A.Waive an insured's premiums if the insured becomes totally disabled before a certain age B.Waive an insured's premiums if the insured becomes partially disabled for a minimum time C.Increase an insured's coverage at an attained age without imposing a premium increase D.Reduce an insured's premiums if the insured pays them annually instead of monthly Quiz_________________? A - ANSWER Two business partners own life insurance on each other. If one partner dies, which of the following contracts will allow the other partner to buy 100 percent of the business interest? A.Buy and Sell Agreement B.Key Employee Life policy C.Survivorship Life D.Joint and Several Annuity Quiz_________________? A - ANSWER Which of the following group life plans requires at least 75 percent of the eligible members to participate? A.Contributory B.Noncontributory C.Participating D.Nonparticipating