Delaware Life Insurance Study Guide 2024 Questions and Answers

Delaware Life Insurance Study Guide 2024 Questions and Answers What is the benefit of choosing extended term as a nonforfeiture option? - CORRECT ANSWER-It has the highest amount of insurance protection Upon the death of the insured, the primary beneficiary discovers that the insured chose the interest only settlement option. What does this mean? - CORRECT ANSWER-The beneficiary will only receive payments of the interest earned on the death benefit If a life insurance policy has an irrevocable beneficiary designation, - CORRECT ANSWER-the beneficiary can only be changed with written permission of the beneficiary Which of the following terms means a result of calculation based on the average number of months the insured is projected to live due to medical history and mortality factors - CORRECT ANSWER-life expectancy Which is NOT true about beneficiary designations? - CORRECT ANSWER-The beneficiary must have insurable interest in the insured. which of the following is true regarding taxation of dividends in participating policies? - CORRECT ANSWER-dividends are not taxable An insured will be allowed to reactivate her lapsed life insurance policy if action is taken within a certain period of time, and proof of insurability is provided. Which policy provision allows this? - CORRECT ANSWER-reinstatement provision Which of the following allows the insurer to relieve a minor insured from premium payments if the minor's parent have died or become disabled? - CORRECT ANSWERpayor benefit The policyowner wants to make sure that upon his death, the life policy will pay a portion of the proceeds annually to his spouse, but that the principal will be paid to their children when they reach a certain age. Which settlement option should the policyowner choose? - CORRECT ANSWER-interest only option a prospective insured receives a conditional receipt but dies before the policy is issued. the insurer will - CORRECT ANSWER-pay the policy proceeds only if it would have issued the policy a domestic insurer issuing variable contracts must establish one or more - CORRECT ANSWER-separate accounts Which life insurance settlement option guarantees payments for the lifetime of the recipient, but also specifies a guaranteed period, during which, if the original recipient dies, the payments will continue to a designated beneficiary? - CORRECT ANSWERLife income with period certain