OKLAHOMA LIFE HEALTH INSURANCE LATEST
EXAM UPDATED QUESTIONS AND ANSWERS SURE
A+
✔✔A policyowner may exercise which of these dividend options that uses the dividend
to pay all or part of the next premium due?
Reduction of premium dividend option
Extended term option
Paid-up option
Cash dividend option - ✔✔Reduction of premium dividend option
✔✔Which of these is NOT considered to be a nonforfeiture option in a whole life
insurance policy?
Interest only
Reduced paid-up insurance
Extended term insurance
,Cash surrender - ✔✔Interest only
✔✔The Oklahoma Insurance Commissioner is REQUIRED to examine domestic
insurers AT LEAST every
2 years
4 years
5 years
6 years - ✔✔5 years
✔✔A Modified Endowment Contract (MEC) is best described as?
A life insurance contract which accumulates cash values higher than the IRS will allow
An annuity contract which was converted from a life insurance contract
A modified life contract which enjoys all the tax advantages of whole life insurance
A life insurance contract where all withdrawals prior to age 65 are subject to a 10%
penalty - ✔✔A life insurance contract which accumulates cash values higher than the
IRS will allow
✔✔According to Oklahoma law, which of the following must include coverage for
equipment, supplies, and related services for the treatment of Type I and Type II
diabetes when prescribed by a physician or other licensed health care provider?
All individual or group health contracts or agreements
Diabetes self-management training programs
Limited benefit or specific disease plans
State-sponsored Medicaid or Medicare supplement plans - ✔✔All individual or group
health contracts or agreements
✔✔Elizabeth is the beneficiary of a life insurance policy. She is receiving the death
benefit in payments of $10,000 per month until the principal and interest has been paid
out. Which option was chosen?
Fixed period
,Fixed amount
Life income
Interest only - ✔✔Fixed amount
✔✔A partial surrender is allowed in which of the following life policies?
Adjustable whole life
Universal life
Decreasing term life
Limited whole life - ✔✔Universal life
✔✔Level premium permanent insurance accumulates a reserve that will eventually?
equal the face amount of the policy
pay a dividend to the policyowner
require the policyowner to make periodic withdrawals
become larger than the face amount - ✔✔equal the face amount of the policy
✔✔A securities license is required for a life insurance producer to sell?
modified life insurance
Modified Endowment Contracts (MEC)
variable life insurance
universal life insurance - ✔✔variable life insurance
✔✔All of the following are considered to be nonforfeiture options available to a
policyowner EXCEPT
Extended Term Insurance
Cash Surrender
Reduction of Premium
, Reduced Paid-Up Insurance - ✔✔Reduction of Premium
✔✔An insurance producer is often responsible for field underwriting during the
application process. All of these are possible field underwriting roles EXCEPT
providing disclosure information to the applicant
collecting initial premium
policy delivery
providing commission information to the applicant - ✔✔providing commission
information to the applicant
✔✔Donald is the primary insured of a life insurance policy and adds a children's term
rider. What is the advantage of adding this rider?
Can be converted to permanent coverage without evidence of insurability
Coverage can be different for each child
Premiums on this rider are not required until the limiting age is reached
Increases the policy's overall cash value - ✔✔Can be converted to permanent
coverage without evidence of insurability
✔✔Richard owns an insurance policy that is renewable only at the option of the
insurance company. His policy is considered to be?
cancelable
guaranteed renewable
conditionally renewable
optionally renewable - ✔✔optionally renewable
✔✔Tim is covered under a group plan and would like to change his group coverage to
an individual policy with the same insurer because of employment termination. Which of
these describes the change that will take place?
Coordination of benefits
Conversion
EXAM UPDATED QUESTIONS AND ANSWERS SURE
A+
✔✔A policyowner may exercise which of these dividend options that uses the dividend
to pay all or part of the next premium due?
Reduction of premium dividend option
Extended term option
Paid-up option
Cash dividend option - ✔✔Reduction of premium dividend option
✔✔Which of these is NOT considered to be a nonforfeiture option in a whole life
insurance policy?
Interest only
Reduced paid-up insurance
Extended term insurance
,Cash surrender - ✔✔Interest only
✔✔The Oklahoma Insurance Commissioner is REQUIRED to examine domestic
insurers AT LEAST every
2 years
4 years
5 years
6 years - ✔✔5 years
✔✔A Modified Endowment Contract (MEC) is best described as?
A life insurance contract which accumulates cash values higher than the IRS will allow
An annuity contract which was converted from a life insurance contract
A modified life contract which enjoys all the tax advantages of whole life insurance
A life insurance contract where all withdrawals prior to age 65 are subject to a 10%
penalty - ✔✔A life insurance contract which accumulates cash values higher than the
IRS will allow
✔✔According to Oklahoma law, which of the following must include coverage for
equipment, supplies, and related services for the treatment of Type I and Type II
diabetes when prescribed by a physician or other licensed health care provider?
All individual or group health contracts or agreements
Diabetes self-management training programs
Limited benefit or specific disease plans
State-sponsored Medicaid or Medicare supplement plans - ✔✔All individual or group
health contracts or agreements
✔✔Elizabeth is the beneficiary of a life insurance policy. She is receiving the death
benefit in payments of $10,000 per month until the principal and interest has been paid
out. Which option was chosen?
Fixed period
,Fixed amount
Life income
Interest only - ✔✔Fixed amount
✔✔A partial surrender is allowed in which of the following life policies?
Adjustable whole life
Universal life
Decreasing term life
Limited whole life - ✔✔Universal life
✔✔Level premium permanent insurance accumulates a reserve that will eventually?
equal the face amount of the policy
pay a dividend to the policyowner
require the policyowner to make periodic withdrawals
become larger than the face amount - ✔✔equal the face amount of the policy
✔✔A securities license is required for a life insurance producer to sell?
modified life insurance
Modified Endowment Contracts (MEC)
variable life insurance
universal life insurance - ✔✔variable life insurance
✔✔All of the following are considered to be nonforfeiture options available to a
policyowner EXCEPT
Extended Term Insurance
Cash Surrender
Reduction of Premium
, Reduced Paid-Up Insurance - ✔✔Reduction of Premium
✔✔An insurance producer is often responsible for field underwriting during the
application process. All of these are possible field underwriting roles EXCEPT
providing disclosure information to the applicant
collecting initial premium
policy delivery
providing commission information to the applicant - ✔✔providing commission
information to the applicant
✔✔Donald is the primary insured of a life insurance policy and adds a children's term
rider. What is the advantage of adding this rider?
Can be converted to permanent coverage without evidence of insurability
Coverage can be different for each child
Premiums on this rider are not required until the limiting age is reached
Increases the policy's overall cash value - ✔✔Can be converted to permanent
coverage without evidence of insurability
✔✔Richard owns an insurance policy that is renewable only at the option of the
insurance company. His policy is considered to be?
cancelable
guaranteed renewable
conditionally renewable
optionally renewable - ✔✔optionally renewable
✔✔Tim is covered under a group plan and would like to change his group coverage to
an individual policy with the same insurer because of employment termination. Which of
these describes the change that will take place?
Coordination of benefits
Conversion
