NEVADA - Life Insurance Practice Final
Examination Latest Update 2025-2026 Actual
Exam Questions with 100% Verified Correct
Answers Guaranteed A+ Verified by Professor
A retired person purchases an annuity for $90,000. One month later, he starts to receive
payments. Based solely on these facts, what type of annuity does he have?
a. Immediate
b. Cash payment
c. Life only
d. Interest only - CORRECT ANSWER: a. Immediate
All of the following are common life insurance policy provisions EXCEPT a(n)
a. entire contract clause
b. insuring clause
c. free look period
d. premium deductibility option - CORRECT ANSWER: d. premium deductibility option
All of the following statements are true with regard to the 10 day free look provision in a
life insurance policy EXCEPT
a. the 10 day free look period begins when the insured receives the contract
b. an insured who returns the policy within the 10 days free look period will receive a full
refund of premiums paid
c. if a conditional receipt was issued, a pro rata refund will be made if the insured
returns the policy within the free look period
d. to get a refund, the policy holder must return the policy within 10 days from the date
the policy was received - CORRECT ANSWER: c. if a conditional receipt was issued, a
pro rata refund will be made if the insured returns the policy within the free look period
, An agreement to purchase a deceased partner's share of a business which is usually
funded by life insurance best describes a
a. Keogh plan
b. split dollar plan
c. buy and sell agreement
d. key employee life insurane - CORRECT ANSWER: c. buy and sell agreement
An insured may receive protection against the unintentional lapse of his life insurance
contract by requesting the
a. cash savings amount
b. extended term option
c. at interest option
d. automatic premium loan - CORRECT ANSWER: d. automatic premium loan
Jane buys a $25,000 policy and her agent tells her that as long as she is approved, the
coverage goes into effect immediately. What did Jane's agent give her?
a. Consideration
b. Conditional receipt
c. Return of premium
d. Binding receipt - CORRECT ANSWER: b. Conditional receipt
Jason is the insured in a $100,000, 10 year renewable term policy. Soon after taking out
the policy, he develops a serious heart condition. Which of the following statement is
CORRECT?
a. Since the condition manifested after the policy was issued, he will not be able to
renew his policy.
b. Jason will be able to renew his policy
Examination Latest Update 2025-2026 Actual
Exam Questions with 100% Verified Correct
Answers Guaranteed A+ Verified by Professor
A retired person purchases an annuity for $90,000. One month later, he starts to receive
payments. Based solely on these facts, what type of annuity does he have?
a. Immediate
b. Cash payment
c. Life only
d. Interest only - CORRECT ANSWER: a. Immediate
All of the following are common life insurance policy provisions EXCEPT a(n)
a. entire contract clause
b. insuring clause
c. free look period
d. premium deductibility option - CORRECT ANSWER: d. premium deductibility option
All of the following statements are true with regard to the 10 day free look provision in a
life insurance policy EXCEPT
a. the 10 day free look period begins when the insured receives the contract
b. an insured who returns the policy within the 10 days free look period will receive a full
refund of premiums paid
c. if a conditional receipt was issued, a pro rata refund will be made if the insured
returns the policy within the free look period
d. to get a refund, the policy holder must return the policy within 10 days from the date
the policy was received - CORRECT ANSWER: c. if a conditional receipt was issued, a
pro rata refund will be made if the insured returns the policy within the free look period
, An agreement to purchase a deceased partner's share of a business which is usually
funded by life insurance best describes a
a. Keogh plan
b. split dollar plan
c. buy and sell agreement
d. key employee life insurane - CORRECT ANSWER: c. buy and sell agreement
An insured may receive protection against the unintentional lapse of his life insurance
contract by requesting the
a. cash savings amount
b. extended term option
c. at interest option
d. automatic premium loan - CORRECT ANSWER: d. automatic premium loan
Jane buys a $25,000 policy and her agent tells her that as long as she is approved, the
coverage goes into effect immediately. What did Jane's agent give her?
a. Consideration
b. Conditional receipt
c. Return of premium
d. Binding receipt - CORRECT ANSWER: b. Conditional receipt
Jason is the insured in a $100,000, 10 year renewable term policy. Soon after taking out
the policy, he develops a serious heart condition. Which of the following statement is
CORRECT?
a. Since the condition manifested after the policy was issued, he will not be able to
renew his policy.
b. Jason will be able to renew his policy
