HVAC JOURNEYMAN EXAM 2023-2024 AND
PRACTICE EXAM 200 QUESTIONS AND
CORRECT DETAILED ANSWERS (200%
CORRRECT ALREADY GRADED A+
1. Which of the following annuity benefit payment options would generate the highest
monthly payments to the contract owner upon annuitization?
- ANSWER- Pure or straight life
2. All of the following are dividend options on a participating life insurance policy: -
ANSWER- Paid-up additions
1-year term
Cash
3. The person upon whose life an annuity is based is known as the:
- ANSWER- Insured
4. When a policy owner uses the cash value in their policy to buy a lesser amount of
permanent life insurance, they have exercised which no forfeiture option: -
ANSWER- Reduced paid-up
5. Which of the following life insurance settlement options enables the beneficiary to
conserve the proceeds of a life insurance policy? - ANSWER- Interest only
6. In the case of a variable annuity sold to a senior citizen in this state for which the
owner has directed that the premium be invested in the mutual funds underlying the
contract during the 30-day cancellation period, cancellation during that period entitles
the owner to a refund of: - ANSWER- The account value
7. All of the following are true regarding annuities
- ANSWER- They are purchased by those who are worried about outliving their
savings.
8. Which of the following would not be considered to be ordinary life insurance? -
ANSWER- Group (Life Insurance)
9. All of the following are true regarding dividends paid by a mutual life insurance
company - ANSWER- They are not guaranteed
10. Which type of term life insurance has a level face amount but a premium that
increases each year as the insured gets older? - ANSWER- Renewable
, 11. The transfer of risk to an insurance company is an effective risk management
technique when: - ANSWER- The amount and frequency of future losses are
unknown
12. The owner of a life insurance policy may do all of the following - ANSWER-
Change the beneficiary
13. All of the following are true regarding key person life insurance: - ANSWER-
The employer is the policy owner and the beneficiary
14. If a corporation and a shareholder enter into an agreement that requires the
corporation to buy the shareholder's shares upon his or her death, they have entered
into: - ANSWER- A buy/sell agreement
15. All of following are required no forfeiture options or provisions on a cash value life
insurance policy: - ANSWER- Extended term
16. The greater the number of similar exposure units insured, the easier it will be to
predict future claims based upon the law of: - ANSWER- Large numbers
17. List in order from the lowest annual premium to the highest: - ANSWER-
Modified, ordinary, limited pay, single premium
18. Which risk classification will have the highest premium?
- ANSWER- Non-standard
19. The person upon whose life a life insurance policy is based is known as the: -
ANSWER- Insured
20. A client who wants life insurance protection and cash values that fluctuate in value
based upon the performance of a separate account should purchase:
- ANSWER- Variable life
21. When making a life settlement, a policy owner will permanently transfer all rights of
ownership in the policy to another party by making a(n):
- ANSWER- Absolute assignment
22. Which of the following completes the application for life insurance?
- ANSWER- Applicant
23. If the beneficiary of a life insurance policy wants $1,000 per month for as long as
the money lasts, they should choose the ________ settlement option.
- ANSWER- Fixed amount
PRACTICE EXAM 200 QUESTIONS AND
CORRECT DETAILED ANSWERS (200%
CORRRECT ALREADY GRADED A+
1. Which of the following annuity benefit payment options would generate the highest
monthly payments to the contract owner upon annuitization?
- ANSWER- Pure or straight life
2. All of the following are dividend options on a participating life insurance policy: -
ANSWER- Paid-up additions
1-year term
Cash
3. The person upon whose life an annuity is based is known as the:
- ANSWER- Insured
4. When a policy owner uses the cash value in their policy to buy a lesser amount of
permanent life insurance, they have exercised which no forfeiture option: -
ANSWER- Reduced paid-up
5. Which of the following life insurance settlement options enables the beneficiary to
conserve the proceeds of a life insurance policy? - ANSWER- Interest only
6. In the case of a variable annuity sold to a senior citizen in this state for which the
owner has directed that the premium be invested in the mutual funds underlying the
contract during the 30-day cancellation period, cancellation during that period entitles
the owner to a refund of: - ANSWER- The account value
7. All of the following are true regarding annuities
- ANSWER- They are purchased by those who are worried about outliving their
savings.
8. Which of the following would not be considered to be ordinary life insurance? -
ANSWER- Group (Life Insurance)
9. All of the following are true regarding dividends paid by a mutual life insurance
company - ANSWER- They are not guaranteed
10. Which type of term life insurance has a level face amount but a premium that
increases each year as the insured gets older? - ANSWER- Renewable
, 11. The transfer of risk to an insurance company is an effective risk management
technique when: - ANSWER- The amount and frequency of future losses are
unknown
12. The owner of a life insurance policy may do all of the following - ANSWER-
Change the beneficiary
13. All of the following are true regarding key person life insurance: - ANSWER-
The employer is the policy owner and the beneficiary
14. If a corporation and a shareholder enter into an agreement that requires the
corporation to buy the shareholder's shares upon his or her death, they have entered
into: - ANSWER- A buy/sell agreement
15. All of following are required no forfeiture options or provisions on a cash value life
insurance policy: - ANSWER- Extended term
16. The greater the number of similar exposure units insured, the easier it will be to
predict future claims based upon the law of: - ANSWER- Large numbers
17. List in order from the lowest annual premium to the highest: - ANSWER-
Modified, ordinary, limited pay, single premium
18. Which risk classification will have the highest premium?
- ANSWER- Non-standard
19. The person upon whose life a life insurance policy is based is known as the: -
ANSWER- Insured
20. A client who wants life insurance protection and cash values that fluctuate in value
based upon the performance of a separate account should purchase:
- ANSWER- Variable life
21. When making a life settlement, a policy owner will permanently transfer all rights of
ownership in the policy to another party by making a(n):
- ANSWER- Absolute assignment
22. Which of the following completes the application for life insurance?
- ANSWER- Applicant
23. If the beneficiary of a life insurance policy wants $1,000 per month for as long as
the money lasts, they should choose the ________ settlement option.
- ANSWER- Fixed amount
