XCEL LIFE INSURANCE INDIANA FINAL Exam 2025 NEWEST
ACTUAL EXAM COMPLETE QUESTIONS AND CORRECT
DETAILED ANSWERS (100% VERIFIED ANSWERS) ALREADY
GRADED A+ BRAND NEW!!
What is the purpose for having an accelerated death benefit on a life insurance policy? -
(answers)It allows for cash advances to be paid against the death benefit if the insured becomes
terminally ill
Lisa has recently bought a fixed annuity. Which of these is considered to be a disadvantage of
owning this type of annuity? - (answers)During periods of inflation, annuitants will experience a
decrease in purchasing power of their payments
心的坚强决定了我们的命运。当
我们面对挫折时，是一颗不屈的
A life insurance policy that is subject to a contract interest rate is referred to as -
(answers)Universal Life 心让我们勇敢前行
The two major actions required for a policyholder to comply with the reinstatement clause are -
(answers)provide evidence of insurability, pay past due premiums
An error was made on Mary's life insurance application. Which of the following areas to errors
commonly occur on applications and for which the incontestable clause does not apply -
(answers)Age
And insured individual in the policies, beneficiary die from the same accident. The common
disaster provision states the insurer will continue as if - (answers)The insured outlived the
beneficiary. This allows the proceeds to go to the contingent beneficiary.
In Florida, deceptive advertising is considered to be - (answers)A form of misrepresentation
,Which of these statements concerning traditional IRAs is correct - (answers)Earnings are taxable
when withdrawn
Statements made by an insurance applicant on an application are considered to be -
(answers)representations
Dividends, payable to a policy owner are - (answers)Declared by the insurance company
A group-owned insurance company that is formed to assume and spread the liability risks of its
members is known as a - (answers)risk retention group
When a policy pays dividends to its policyholders, it is said to be - (answers)participating
心的坚强决定了我们的命运。当
Definition of aleatory - (answers)The premiums paid by the insured are small in relation to the
amount that will be paid by the insurance company in the event of a loss
我们面对挫折时，是一颗不屈的
心让我们勇敢前行
Definition of Adhesion - (answers)Known as take it, or leave it agreements. Because they are
prepared by one party the insurance company.
Definition of conditional - (answers)Certain conditions must be met by all parties when a loss
occurs otherwise, the contract would not be legally enforceable
Warranties vs. Representations - (answers)Warranties are guaranteed to be true . Representations
are BELIEVED to be true to the best of one's knowledge
Insurable interest is - (answers)To purchase insurance, the policy owner must face the possibility
of losing money or something of value when a loss happens. Insurable interest must exist
between the policy owner in the person being insured at the time of the application.
, Stranger Originated Life Insurance (STOLI) has been found to be in violation of which of the
following contractual elements? - (answers)Legal Purpose (Insurable Interest)
A life insurance policy would be considered a wagering contract WITHOUT -
(answers)insurable interest
A life insurance arrangement, which circumvents insurable interest statues is called -
(answers)Investor-Originated Life Insurance. This is done when an investor/stranger persuasion
individual to take out a life insurance policy for the purpose of selling the policy to the investor.
E and F our business partners. Each takes out $500,000 life insurance policy on the other E and F
eventually terminate their business and four months later he dies. Although he was married with
three children at the time of death, the primary beneficiary is still F. However, an insurable
interest no longer exist. Where will the proceeds from ease life insurance policy be directed to? -
(answers)F
心的坚强决定了我们的命运。当
我们面对挫折时，是一颗不屈的
Taking receipt of premiums and holding them for the insurance company is an example of -
(answers)Fiduciary responsibility 心让我们勇敢前行
When third-party ownership is involved, applicants who also happen to be the stated primary
beneficiary are required to have - (answers)insurable interest in the proposed insured
At what point does an informal agreement become a binding contract - (answers)When
consideration is provided by one of the parties to the contract
The Consideration clause of an insurance contract includes - (answers)the schedule and amount
of premium payments
What is term life insurance? - (answers)Insurance provided for a specific period of time term life
insurance has low premiums with the greatest coverage no cash value
ACTUAL EXAM COMPLETE QUESTIONS AND CORRECT
DETAILED ANSWERS (100% VERIFIED ANSWERS) ALREADY
GRADED A+ BRAND NEW!!
What is the purpose for having an accelerated death benefit on a life insurance policy? -
(answers)It allows for cash advances to be paid against the death benefit if the insured becomes
terminally ill
Lisa has recently bought a fixed annuity. Which of these is considered to be a disadvantage of
owning this type of annuity? - (answers)During periods of inflation, annuitants will experience a
decrease in purchasing power of their payments
心的坚强决定了我们的命运。当
我们面对挫折时，是一颗不屈的
A life insurance policy that is subject to a contract interest rate is referred to as -
(answers)Universal Life 心让我们勇敢前行
The two major actions required for a policyholder to comply with the reinstatement clause are -
(answers)provide evidence of insurability, pay past due premiums
An error was made on Mary's life insurance application. Which of the following areas to errors
commonly occur on applications and for which the incontestable clause does not apply -
(answers)Age
And insured individual in the policies, beneficiary die from the same accident. The common
disaster provision states the insurer will continue as if - (answers)The insured outlived the
beneficiary. This allows the proceeds to go to the contingent beneficiary.
In Florida, deceptive advertising is considered to be - (answers)A form of misrepresentation
,Which of these statements concerning traditional IRAs is correct - (answers)Earnings are taxable
when withdrawn
Statements made by an insurance applicant on an application are considered to be -
(answers)representations
Dividends, payable to a policy owner are - (answers)Declared by the insurance company
A group-owned insurance company that is formed to assume and spread the liability risks of its
members is known as a - (answers)risk retention group
When a policy pays dividends to its policyholders, it is said to be - (answers)participating
心的坚强决定了我们的命运。当
Definition of aleatory - (answers)The premiums paid by the insured are small in relation to the
amount that will be paid by the insurance company in the event of a loss
我们面对挫折时，是一颗不屈的
心让我们勇敢前行
Definition of Adhesion - (answers)Known as take it, or leave it agreements. Because they are
prepared by one party the insurance company.
Definition of conditional - (answers)Certain conditions must be met by all parties when a loss
occurs otherwise, the contract would not be legally enforceable
Warranties vs. Representations - (answers)Warranties are guaranteed to be true . Representations
are BELIEVED to be true to the best of one's knowledge
Insurable interest is - (answers)To purchase insurance, the policy owner must face the possibility
of losing money or something of value when a loss happens. Insurable interest must exist
between the policy owner in the person being insured at the time of the application.
, Stranger Originated Life Insurance (STOLI) has been found to be in violation of which of the
following contractual elements? - (answers)Legal Purpose (Insurable Interest)
A life insurance policy would be considered a wagering contract WITHOUT -
(answers)insurable interest
A life insurance arrangement, which circumvents insurable interest statues is called -
(answers)Investor-Originated Life Insurance. This is done when an investor/stranger persuasion
individual to take out a life insurance policy for the purpose of selling the policy to the investor.
E and F our business partners. Each takes out $500,000 life insurance policy on the other E and F
eventually terminate their business and four months later he dies. Although he was married with
three children at the time of death, the primary beneficiary is still F. However, an insurable
interest no longer exist. Where will the proceeds from ease life insurance policy be directed to? -
(answers)F
心的坚强决定了我们的命运。当
我们面对挫折时，是一颗不屈的
Taking receipt of premiums and holding them for the insurance company is an example of -
(answers)Fiduciary responsibility 心让我们勇敢前行
When third-party ownership is involved, applicants who also happen to be the stated primary
beneficiary are required to have - (answers)insurable interest in the proposed insured
At what point does an informal agreement become a binding contract - (answers)When
consideration is provided by one of the parties to the contract
The Consideration clause of an insurance contract includes - (answers)the schedule and amount
of premium payments
What is term life insurance? - (answers)Insurance provided for a specific period of time term life
insurance has low premiums with the greatest coverage no cash value
