Louisiana Life Insurance Questions and
Answers Latest Version Already Passed
What is the name of the clause in a health insurance policy that prevents the insurer from
contesting the contract after it has been in force for a certain period?
✔✔Incontestability clause
Who receives the death benefit from a life insurance policy?
✔✔The beneficiary
What type of life insurance policy builds cash value over time and stays in effect for the
insured’s entire lifetime, assuming premiums are paid?
✔✔Whole life insurance
What is the purpose of the free-look period in an insurance policy?
✔✔To allow the policyholder to review and cancel the policy for a full refund
What is the typical free-look period for life insurance policies in Louisiana?
✔✔10 days
1
,What is the cash value in a life insurance policy?
✔✔A savings element that builds up over time in permanent policies
What is the term for the amount of time a policyholder has after a missed premium payment to
prevent policy lapse?
✔✔Grace period
Who is responsible for underwriting insurance applications?
✔✔The insurance company
What happens to a life insurance policy if the insured dies during the grace period?
✔✔The death benefit is paid minus the unpaid premium
What is a beneficiary that cannot be changed without their consent called?
✔✔Irrevocable beneficiary
2
,What type of policy allows the insured to increase or decrease coverage and premiums within
certain limits?
✔✔Universal life insurance
What rider allows the insured to skip premium payments if they become disabled?
✔✔Waiver of premium rider
What type of insurance policy only pays a benefit if the insured dies within a set term period?
✔✔Term life insurance
What happens to a term life insurance policy at the end of its term if not renewed?
✔✔It expires with no value
What is the primary purpose of life insurance?
✔✔To provide financial protection to beneficiaries after the insured’s death
What is the main purpose of health insurance?
✔✔To cover medical expenses
3
, What is the elimination period in a disability policy?
✔✔The time between the disability and the start of benefit payments
What is the name of the clause that explains that the insurance policy and attached documents
make up the entire agreement?
✔✔Entire contract clause
What type of insurance covers expenses like hospital stays, surgeries, and doctor visits?
✔✔Health insurance
Who regulates the insurance industry in Louisiana?
✔✔The Louisiana Department of Insurance
What is the name of the state agency that ensures insurers remain solvent and protect consumers?
✔✔Louisiana Department of Insurance
What is a rider in an insurance policy?
4
Answers Latest Version Already Passed
What is the name of the clause in a health insurance policy that prevents the insurer from
contesting the contract after it has been in force for a certain period?
✔✔Incontestability clause
Who receives the death benefit from a life insurance policy?
✔✔The beneficiary
What type of life insurance policy builds cash value over time and stays in effect for the
insured’s entire lifetime, assuming premiums are paid?
✔✔Whole life insurance
What is the purpose of the free-look period in an insurance policy?
✔✔To allow the policyholder to review and cancel the policy for a full refund
What is the typical free-look period for life insurance policies in Louisiana?
✔✔10 days
1
,What is the cash value in a life insurance policy?
✔✔A savings element that builds up over time in permanent policies
What is the term for the amount of time a policyholder has after a missed premium payment to
prevent policy lapse?
✔✔Grace period
Who is responsible for underwriting insurance applications?
✔✔The insurance company
What happens to a life insurance policy if the insured dies during the grace period?
✔✔The death benefit is paid minus the unpaid premium
What is a beneficiary that cannot be changed without their consent called?
✔✔Irrevocable beneficiary
2
,What type of policy allows the insured to increase or decrease coverage and premiums within
certain limits?
✔✔Universal life insurance
What rider allows the insured to skip premium payments if they become disabled?
✔✔Waiver of premium rider
What type of insurance policy only pays a benefit if the insured dies within a set term period?
✔✔Term life insurance
What happens to a term life insurance policy at the end of its term if not renewed?
✔✔It expires with no value
What is the primary purpose of life insurance?
✔✔To provide financial protection to beneficiaries after the insured’s death
What is the main purpose of health insurance?
✔✔To cover medical expenses
3
, What is the elimination period in a disability policy?
✔✔The time between the disability and the start of benefit payments
What is the name of the clause that explains that the insurance policy and attached documents
make up the entire agreement?
✔✔Entire contract clause
What type of insurance covers expenses like hospital stays, surgeries, and doctor visits?
✔✔Health insurance
Who regulates the insurance industry in Louisiana?
✔✔The Louisiana Department of Insurance
What is the name of the state agency that ensures insurers remain solvent and protect consumers?
✔✔Louisiana Department of Insurance
What is a rider in an insurance policy?
4
