Alabama Life and Health Insurance Final Exam
(4 Sets of Final Exam’s)
Final Exam Set 1
1. replacement regulation does not apply to ANS credit life insurance
2. a policy owner can collect the face amount on what type of policy? ANS
endow- ment policy
3. which of the following does NOT describe a life income settlement
option?-
ANS income is paid until the principal amount decreases to zero
4. periodic benefit payments must be made no less frequently than ANS
monthly
5. the automatic premium loan provision is NOT used in which of the
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,following policies? ANS increasing term policy
6. the waiver of premium provision normally excludes which of the following
disabling acts? ANS all of these ANS inquires sustained while committing
a felony, inquires sustained while serving in the military, self-inflicted
injuries
7. in regards to a life insurance policy or an annuity contract, all
statements made on the application are considered to be ANS
representations
8. an accidental death rider claim is usually paid if the insured ANS dies
within 90 days of the accident
9. an insurance premium can be defined as ANS money paid to an
insurance com- pany for benefits provided in the policy
10.what is a disability income policy designed to do? ANS pay benefits to
maintain the insured's current standard of living
11.an insurance producer must have which of the following in order to sell
variable life insurance policies? ANS all of these ANS registered with
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, FINRA, license for variable life and annuities contracts, a valid
insurance license
12.what is a certificate of insurance? ANS a certificate is issued to each
individual covered by the group life insurance
13.which of the following statements about a noncancellable policy
is FALSE? ANS the premium rate CAN be increased over time
14.what does the insurance company represent? ANS the insurance
company
15.an insurer pays a large claim for medical expenses after the insured has
only made one premium payment. this is an example of a(n) ANS aleatory
contract
16.an insured owns a policy which includes a disability income rider. the
disability benefit amount paid to the insured is based on the ANS face
amount of the policy
17.how are employer-paid premiums for employee group health insurance
normally treated for tax purposes? ANS tax deductible to the
employer/nontaxable to the employee
3/9
(4 Sets of Final Exam’s)
Final Exam Set 1
1. replacement regulation does not apply to ANS credit life insurance
2. a policy owner can collect the face amount on what type of policy? ANS
endow- ment policy
3. which of the following does NOT describe a life income settlement
option?-
ANS income is paid until the principal amount decreases to zero
4. periodic benefit payments must be made no less frequently than ANS
monthly
5. the automatic premium loan provision is NOT used in which of the
1/9
,following policies? ANS increasing term policy
6. the waiver of premium provision normally excludes which of the following
disabling acts? ANS all of these ANS inquires sustained while committing
a felony, inquires sustained while serving in the military, self-inflicted
injuries
7. in regards to a life insurance policy or an annuity contract, all
statements made on the application are considered to be ANS
representations
8. an accidental death rider claim is usually paid if the insured ANS dies
within 90 days of the accident
9. an insurance premium can be defined as ANS money paid to an
insurance com- pany for benefits provided in the policy
10.what is a disability income policy designed to do? ANS pay benefits to
maintain the insured's current standard of living
11.an insurance producer must have which of the following in order to sell
variable life insurance policies? ANS all of these ANS registered with
2/9
, FINRA, license for variable life and annuities contracts, a valid
insurance license
12.what is a certificate of insurance? ANS a certificate is issued to each
individual covered by the group life insurance
13.which of the following statements about a noncancellable policy
is FALSE? ANS the premium rate CAN be increased over time
14.what does the insurance company represent? ANS the insurance
company
15.an insurer pays a large claim for medical expenses after the insured has
only made one premium payment. this is an example of a(n) ANS aleatory
contract
16.an insured owns a policy which includes a disability income rider. the
disability benefit amount paid to the insured is based on the ANS face
amount of the policy
17.how are employer-paid premiums for employee group health insurance
normally treated for tax purposes? ANS tax deductible to the
employer/nontaxable to the employee
3/9
