FLORIDA HEALTH AND LIFE INSURANCE EXAM

FLORIDA HEALTH AND LIFE INSURANCE EXAM AND
PRACTICE EXAM LATEST 2024 ACTUAL EXAM 400
QUESTIONS AND CORRECT DETAILED ANSWERS WITH
RATIONALES (VERIFIED ANSWERS) |ALREADY GRADED
A+
Whole Life Policies - ANSWER: - Ordinary (Straight) Life
- Limited-pay Life
- Single-Premium Life
- Adjustable Life

Interest/Market-Sensitive Policies - ANSWER: - Universal Life
- Variable Whole Life
- Variable Universal Life
- Interest-sensitive Whole Life
- Equity-Indexed Life

Term Life Policies - ANSWER: - level term life
- Decreasing Life
- Return of premium policy
- Annually renewable policy
- Increasing term policy

Combination Plans - ANSWER: - Joint Life (first to die)
- Survivor Ship Life (second to die)

Individual Policy characteristics - ANSWER: - individual is issued the policy, selects
the plan
- individual applies
- More expensive
- More restrictive

Group Policy Characteristics - ANSWER: - Master policy-owner is issued for the group
- Group selects plans to pick from
- Eligible employees apply
- Less expensive
- Less restrictive

Permanent Life Insurance - ANSWER: - whole life insurance
- effective for entire life, up to age 100
- permanent protection
- cash value

Term Life Insurance - ANSWER: - Effective for temporary period of time
- no cash value

, Participating Life Insurance Policies - ANSWER: - pay dividends to policyholders
- ex: Mutual Insurance companies

Ways of policyholders receiving dividends from participating life insurance policies -
ANSWER: -- In cash
- Accumulate interest
- Purchase more coverage
- Use to reduce future premium prices
- Pay up the entire policy
- Purchase 1-year term insurance

Nonparticipating Life Insurance Policies - ANSWER: - Pay dividends to shareholders
(not policyholders)
- ex: stock companies

Fixed Life Insurance - ANSWER: - Earn constant rate of interest
- Guarantee minimum of benefits

Variable Life Insurance - ANSWER: - Earn fluctuating rate of interest
- Do not guarantee certain cash value

Whole Life Insurance Characteristics - ANSWER: - Provide protection for insured's
entire life
- Provides living benefits
- Provides cash value (value of policy) that is non-forfeiture value that policy owner is
guaranteed

Ordinary (straight) life policy - ANSWER: - basic whole life policy
- Level cash value
- Level premiums over
- Value and payments into policy stay the same throughout
- Cash value is a
nonforfeiture value
and is guaranteed

Limited-Pay Whole Life Policies - ANSWER: - Insured is covered for his entire life
- Premiums are paid for a limited time
- Face amount and premiums stay the same
- Cash value is a
nonforfeiture value
and is guaranteed

Single Premium Whole Life Policy - ANSWER: - premium is paid upfront in one whole
lump-sum
- Coverage is for entire life
- Cash (face) value is the same throughout