MN State Insurance Exam UPDATED ACTUAL Questions and
CORRECT Answers
How are employee FICA taxes collected? The employer withholds the employee's tax and pays it along with the employer's
portion
, Mateo applies for an insurance policy that will have an $100
annual premium payment of $1,000 ($510 semi-annually,
$260 quarterly, and $100 monthly) if issued. Which of the
following premium checks would be adequate
consideration if he chose to pay monthly?
The nonforfeiture option that provides the least amount Reduced Paid-Up
of coverage is:
In order for an insurance company to determine if it will The application
issue a policy, what document must always be submitted
for review?
Before an insurer can operate in this state, it must have Certificate of Authority issued by the state Insurance Department
which of the following?
Prelicensing education must include how many hours of 20
education per line of authority?
If an applicant is a minor, who signs the application? Their guardian
All of the following are Dividend Options, except: Reduced paid-up
An insured has contributed $12,000 in premiums toward a $12,000 is a return of after tax dollars (i.e. cost basis), $3,000 is taxable as ordinary
universal life policy. She decides to cancel the policy and income
take the cash value of $15,000. What are the tax
consequences of this distribution?
All of the following are characteristics of Ordinary Whole If insured lives to age 100, the total amount of premium paid over the lifetime of
Life Insurance, except: the insured is returned to the policyowner
Level, decreasing and increasing term refer to which Death benefit
policy feature
A misstatement of an insured's age was not discovered Pay benefits based on what past premiums would have purchased at the correct
until after the insured died. The policy had been in effect age
for 3 years. What will the insurer do to address this
situation?
All of the following are considered specialized policies, Whole Life
except:
CORRECT Answers
How are employee FICA taxes collected? The employer withholds the employee's tax and pays it along with the employer's
portion
, Mateo applies for an insurance policy that will have an $100
annual premium payment of $1,000 ($510 semi-annually,
$260 quarterly, and $100 monthly) if issued. Which of the
following premium checks would be adequate
consideration if he chose to pay monthly?
The nonforfeiture option that provides the least amount Reduced Paid-Up
of coverage is:
In order for an insurance company to determine if it will The application
issue a policy, what document must always be submitted
for review?
Before an insurer can operate in this state, it must have Certificate of Authority issued by the state Insurance Department
which of the following?
Prelicensing education must include how many hours of 20
education per line of authority?
If an applicant is a minor, who signs the application? Their guardian
All of the following are Dividend Options, except: Reduced paid-up
An insured has contributed $12,000 in premiums toward a $12,000 is a return of after tax dollars (i.e. cost basis), $3,000 is taxable as ordinary
universal life policy. She decides to cancel the policy and income
take the cash value of $15,000. What are the tax
consequences of this distribution?
All of the following are characteristics of Ordinary Whole If insured lives to age 100, the total amount of premium paid over the lifetime of
Life Insurance, except: the insured is returned to the policyowner
Level, decreasing and increasing term refer to which Death benefit
policy feature
A misstatement of an insured's age was not discovered Pay benefits based on what past premiums would have purchased at the correct
until after the insured died. The policy had been in effect age
for 3 years. What will the insurer do to address this
situation?
All of the following are considered specialized policies, Whole Life
except:
