WV State Life Insurance Exam LATEST 2024 EXAM
QUESTION AND ANSWER GRADED A+
J is a producer who has induced an insured through misrepresentation to surrender
an existing insurance policy. What is J guilty of?
Coercion
Sliding
Twisting
Rebating - ANSWER: Twisting
Assignment of group life insurance benefits is allowed in the State of West Virginia.
However, assignment is NOT allowed to the insured's
spouse
children
creditors
employer - ANSWER: employer
An example of an unfair claims settlement practice is
a. making it mandatory that proof of loss be provided for each claim
b. requiring a time limit for submitting a claim
c. paying a claim in a timely matter
d. turning down a claim without providing the basis of denial - ANSWER: d
When recommending a purchase or exchange of an annuity, the producer or insurer
must have a reasonable basis for believing that a recommendation is suitable based
on all of the following facts disclosed by an applicant EXCEPT the applicant's
-present income
-net worth
-intended use
-county of residence - ANSWER: d
A producer must notify the Insurance Commissioner within __ days following the
final desposition of an administrative action by any government agency.
-10
-20
-30
-40 - ANSWER: c
Life insurance death benefits up to ___ are guaranteed by the West Virginia Life and
Health Guaranty Association.
-$50,000
-$150,000
-$300,000
-500,000 - ANSWER: c
A producer's license may be suspended or revoked if the license
,-writes primarily controlled business
-engages in replacement of an existing policy
-files for bankruptcy
-does not meet a sales quota - ANSWER: a
S the producer charged a fee for placing an insurance policy. Under West Virginia
law, S must
-report the placement to his primary insurer
-document the fee with the Department of Insurance
-guarantee to the insured that the insurer will accept the risk
-report this act to the Insurance Commissioner - ANSWER: d
What must be signed by both the producer and applicant when an existing life
insurance policy is being reissued with a reduction in cash value?
-Policy Guide
-Buyer's Summary
-Replacement receipt
-Notice Regarding Replacement - ANSWER: d
Life insurance replacement regulation protects the interests of
-the policyowner
-the producer
-the insurer
-the NAIC - ANSWER: a
Convincing a prospective insured to buy an insurance policy based on exaggerations
is called
-rebating
-intimidation
-twisting
-misrepresentation - ANSWER: d
B the producer sold an insurance contract to a client. B has engaged in
-consummating an agreement
-transacting insurance
-underwriting insurance
-meeting a sales quota - ANSWER: b
Which of the following is considered to be misrepresentation?
-Replacing an existing policy with a new one
-A producer guaranteeing a policy's dividends
-Sharing commissions with other licensed producers
-Requiring an applicant for insurance to make their premium payable to the
insurance company - ANSWER: b
An example of false advertising would be
-Paid testimonials from celebrity endorsements
, -An insurer exaggerating its dividends in a magazine advertisement
-A producer spending more than $25 on marketing gifts for a client
-An insurer advertising in an insurance trade journal - ANSWER: b
B is a licensed producer who sells multiple lines of insurance. Which of these
products requires B to complete continuing education in order to maintain the
license?
-Credit Accident and Sickness Insurance
-Crop Insurance
-Life insurance
-Travel insurance - ANSWER: c
A producer who intentionally violates a cease and desist order could receive a fine of
___ up to per violation
-$3,000
-$4,000
-$5,000
-$6,000 - ANSWER: c
Once the Insurance Commissioner makes a ruling after a hearing, an insured or
insurer may request a rehearing within ___days
-20
-30
-40
-50 - ANSWER: b
Which of these actions is NOT required when a producer replaces an existing
individual life insurance policy?
-Provide the applicant a Notice Regarding Replacement of Life Insurance
-Provide the applicant the original or a copy of the proposals used in the sales
presentation
—Obtain the beneficiary's signature
-Submit to the producer's insurance company a copy of the Notice Regarding
Replacement of Life Insurance signed by the applicant - ANSWER: c
The Insurance Commissioner must give at least producer's license___days notice
prior to holding a hearing regarding a producer's license
-15
-20
-25
-30 - ANSWER: a
When making a recommendation to a consumer to purchase an annuity, the
producer must make reasonable efforts to obtain suitability information. Suitability
information includes
-gender, place of employment, credit score
-credit score, age, health history
QUESTION AND ANSWER GRADED A+
J is a producer who has induced an insured through misrepresentation to surrender
an existing insurance policy. What is J guilty of?
Coercion
Sliding
Twisting
Rebating - ANSWER: Twisting
Assignment of group life insurance benefits is allowed in the State of West Virginia.
However, assignment is NOT allowed to the insured's
spouse
children
creditors
employer - ANSWER: employer
An example of an unfair claims settlement practice is
a. making it mandatory that proof of loss be provided for each claim
b. requiring a time limit for submitting a claim
c. paying a claim in a timely matter
d. turning down a claim without providing the basis of denial - ANSWER: d
When recommending a purchase or exchange of an annuity, the producer or insurer
must have a reasonable basis for believing that a recommendation is suitable based
on all of the following facts disclosed by an applicant EXCEPT the applicant's
-present income
-net worth
-intended use
-county of residence - ANSWER: d
A producer must notify the Insurance Commissioner within __ days following the
final desposition of an administrative action by any government agency.
-10
-20
-30
-40 - ANSWER: c
Life insurance death benefits up to ___ are guaranteed by the West Virginia Life and
Health Guaranty Association.
-$50,000
-$150,000
-$300,000
-500,000 - ANSWER: c
A producer's license may be suspended or revoked if the license
,-writes primarily controlled business
-engages in replacement of an existing policy
-files for bankruptcy
-does not meet a sales quota - ANSWER: a
S the producer charged a fee for placing an insurance policy. Under West Virginia
law, S must
-report the placement to his primary insurer
-document the fee with the Department of Insurance
-guarantee to the insured that the insurer will accept the risk
-report this act to the Insurance Commissioner - ANSWER: d
What must be signed by both the producer and applicant when an existing life
insurance policy is being reissued with a reduction in cash value?
-Policy Guide
-Buyer's Summary
-Replacement receipt
-Notice Regarding Replacement - ANSWER: d
Life insurance replacement regulation protects the interests of
-the policyowner
-the producer
-the insurer
-the NAIC - ANSWER: a
Convincing a prospective insured to buy an insurance policy based on exaggerations
is called
-rebating
-intimidation
-twisting
-misrepresentation - ANSWER: d
B the producer sold an insurance contract to a client. B has engaged in
-consummating an agreement
-transacting insurance
-underwriting insurance
-meeting a sales quota - ANSWER: b
Which of the following is considered to be misrepresentation?
-Replacing an existing policy with a new one
-A producer guaranteeing a policy's dividends
-Sharing commissions with other licensed producers
-Requiring an applicant for insurance to make their premium payable to the
insurance company - ANSWER: b
An example of false advertising would be
-Paid testimonials from celebrity endorsements
, -An insurer exaggerating its dividends in a magazine advertisement
-A producer spending more than $25 on marketing gifts for a client
-An insurer advertising in an insurance trade journal - ANSWER: b
B is a licensed producer who sells multiple lines of insurance. Which of these
products requires B to complete continuing education in order to maintain the
license?
-Credit Accident and Sickness Insurance
-Crop Insurance
-Life insurance
-Travel insurance - ANSWER: c
A producer who intentionally violates a cease and desist order could receive a fine of
___ up to per violation
-$3,000
-$4,000
-$5,000
-$6,000 - ANSWER: c
Once the Insurance Commissioner makes a ruling after a hearing, an insured or
insurer may request a rehearing within ___days
-20
-30
-40
-50 - ANSWER: b
Which of these actions is NOT required when a producer replaces an existing
individual life insurance policy?
-Provide the applicant a Notice Regarding Replacement of Life Insurance
-Provide the applicant the original or a copy of the proposals used in the sales
presentation
—Obtain the beneficiary's signature
-Submit to the producer's insurance company a copy of the Notice Regarding
Replacement of Life Insurance signed by the applicant - ANSWER: c
The Insurance Commissioner must give at least producer's license___days notice
prior to holding a hearing regarding a producer's license
-15
-20
-25
-30 - ANSWER: a
When making a recommendation to a consumer to purchase an annuity, the
producer must make reasonable efforts to obtain suitability information. Suitability
information includes
-gender, place of employment, credit score
-credit score, age, health history
