Arizona Life Insurance Exam Test Questions and Answers Graded A+
a whole life policy that provides a choice of dividend
options include the following statement about dividends
they accrue at a guaranteed rate
they are not guaranteed
they are deferred for one year
they are not guaranteed
they are guaranteed after the first year
When there is a named beneficiary on a life insurance
policy, the death benefits
1. are directed to a trustee if the insured has any outstand-
ing debts
2. are paid directly to the insured`s creditors, with any are paid directly to the beneficiary without interference
remaining balance forwarded to the beneficiary from the insured`s creditors
3. are paid directly to the beneficiary, minus any debt
claims by the insured`s creditors
4. are paid directly to the beneficiary without interference
from the insured`s creditors
What determines how much an annuitant is paid for a
variable annuity
1. varies according to how many outstanding annuitant is
paid for a variable annuity the market value variations of the securities backing it
2. payments fluctuate as annuitant gets older
3. the market value variations of the securities backing it
,Arizona Life Insurance Exam Test Questions and Answers Graded A+
4. varies according to the insurers investments in its gen-
eral account
a terminated employee has how many days upon ter-
mination to convert group life insurance coverage to an
individual policy
10 days
31 days
15 days
30 days
31 days
Rick owns a variable universal life insurance policy and
chooses a variable death benefit option. what will typically
happen to the death benefit as a result of this section
1. remain the same
fluctuate with changes in the cash amount
2 decrease but never increase
3 increase but never decrease
4 fluctuate with changes in the cash amount
the policy provision that permits an employee to change
from group life insurance to an individual policy is called
1 assignment provision
conversion provision
2 conversion provision
3 certificate provision
, 4 modification provision
when the deferred annuity is surrendered, who must sign
the authorization to do so
owner
owner
annuitant and beneficiary
annuitant
all parties involved
Which of the following is NOT a valid contract exchange?
1. an annuity exchanged for a life insurance policy
2 an annuity exchanged for another annuity
an annuity exchanged for a life insurance policy
3 a life insurance policy exchanged for another life insur-
ance policy
4 a life insurance policy exchanged for another annuity
which of these statements regarding the extended term
insurance nonforfeiture option in a life policy is accurate
evidence of insurability is required
the premium to purchase the coverage comes from the
coverage remains until death of the insured
policy`s cash value
the premium to purchase the coverage comes from the
policy`s cash value
cash value will continue to grow
, a life insurance policy that includes a return of premium
rider will pay the beneficiary how much upon the insured
death
total premiums paid plus the policy face amount
total premiums paid plus the policy face amount
face amount plus interest
interest acquired plus total premiums paid
face amount minus any outstanding loan balances
which of these is NOT considered the responsibility of a
producer during the underwriting process
collecting additional medical information if needed
promptly sending the completed application to the insur-
selecting the final approval date
ance company
forwarding any material personal observations to the in-
surer
selecting the final approval date
which of the following is NOT guaranteed in a whole life
policy
settlement options
dividend scale
nonforfeiture options
dividend scale
policy loan values
a whole life policy that provides a choice of dividend
options include the following statement about dividends
they accrue at a guaranteed rate
they are not guaranteed
they are deferred for one year
they are not guaranteed
they are guaranteed after the first year
When there is a named beneficiary on a life insurance
policy, the death benefits
1. are directed to a trustee if the insured has any outstand-
ing debts
2. are paid directly to the insured`s creditors, with any are paid directly to the beneficiary without interference
remaining balance forwarded to the beneficiary from the insured`s creditors
3. are paid directly to the beneficiary, minus any debt
claims by the insured`s creditors
4. are paid directly to the beneficiary without interference
from the insured`s creditors
What determines how much an annuitant is paid for a
variable annuity
1. varies according to how many outstanding annuitant is
paid for a variable annuity the market value variations of the securities backing it
2. payments fluctuate as annuitant gets older
3. the market value variations of the securities backing it
,Arizona Life Insurance Exam Test Questions and Answers Graded A+
4. varies according to the insurers investments in its gen-
eral account
a terminated employee has how many days upon ter-
mination to convert group life insurance coverage to an
individual policy
10 days
31 days
15 days
30 days
31 days
Rick owns a variable universal life insurance policy and
chooses a variable death benefit option. what will typically
happen to the death benefit as a result of this section
1. remain the same
fluctuate with changes in the cash amount
2 decrease but never increase
3 increase but never decrease
4 fluctuate with changes in the cash amount
the policy provision that permits an employee to change
from group life insurance to an individual policy is called
1 assignment provision
conversion provision
2 conversion provision
3 certificate provision
, 4 modification provision
when the deferred annuity is surrendered, who must sign
the authorization to do so
owner
owner
annuitant and beneficiary
annuitant
all parties involved
Which of the following is NOT a valid contract exchange?
1. an annuity exchanged for a life insurance policy
2 an annuity exchanged for another annuity
an annuity exchanged for a life insurance policy
3 a life insurance policy exchanged for another life insur-
ance policy
4 a life insurance policy exchanged for another annuity
which of these statements regarding the extended term
insurance nonforfeiture option in a life policy is accurate
evidence of insurability is required
the premium to purchase the coverage comes from the
coverage remains until death of the insured
policy`s cash value
the premium to purchase the coverage comes from the
policy`s cash value
cash value will continue to grow
, a life insurance policy that includes a return of premium
rider will pay the beneficiary how much upon the insured
death
total premiums paid plus the policy face amount
total premiums paid plus the policy face amount
face amount plus interest
interest acquired plus total premiums paid
face amount minus any outstanding loan balances
which of these is NOT considered the responsibility of a
producer during the underwriting process
collecting additional medical information if needed
promptly sending the completed application to the insur-
selecting the final approval date
ance company
forwarding any material personal observations to the in-
surer
selecting the final approval date
which of the following is NOT guaranteed in a whole life
policy
settlement options
dividend scale
nonforfeiture options
dividend scale
policy loan values
