West Virginia Life Insurance Test | Questions with 100% Correct Answers | Verified | Latest Update 2024

The insured under a $100,000 life insurance policy with a triple indemnity rider for accidental death was killed in a car accident. It was determined that the accident was his fault. The triple indemnity rider in the policy specifies that the death must not be contributed to by the insured in any manner. In this case, what will the policy beneficiary receive? - $100,000 The dividend option in which the policyowner uses dividends to purchase a term policy for one year is referred to as the - One-year term option. The life insurance policy clause that prevents an insurance company from denying payment of a death claim after a specified period of time is known as the - Incontestability clause. Which of the following describes the tax advantage of a qualified retirement plan? - The earnings in the plan accumulate tax deferred. Which nonforfeiture option has the highest amount of insurance protection? - Extended Term An insured under a life insurance policy has been diagnosed with a terminal illness and has 6 months to live. The insured knows that his financial state will worsen even more with the upcoming medical expenses. What option could the insured utilize? - Viatical settlement An insured purchased a 10-year level term life policy that is guaranteed renewable and convertible. What happens at the end of the 10-year term? - The insured may renew the policy for another 10 years, but at a higher premium rate. An insured committed suicide one year after his life insurance policy was issued. The insurer will - Refund the premiums paid