TEXAS STATE INSURANCE LICENSE
EXAM 2025 QUESTIONS AND ANSWERS
An insurer neglects to pay a legitimate claim that is covered under the terms of the policy.
Which of the following insurance principles has the insurer violated? - ANS Consideration
Which of the following statements regarding HIV testing for insurance purposes is NOT true? -
ANS Insurers are barred from requesting HIV testing.
All of the following are dividend options EXCEPT - ANS Fixed period installments
Which of the following documents delivered to the policyowner includes information about
premium amounts, cash values, surrender values and death benefits for specific policy years? -
ANS A Policy Summary
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, A 60-year-old participant in a 401(k) plan takes a distribution and rolls it over to an IRA within
60 days. Which of the following is true? - ANS The amount of the distribution is reduced by
the amount of a 20% withholding tax.
Which of the following best describes annually renewable term insurance? - ANS It's Level
Term Insurance
Which of the following policies would be classified as a traditional level premium contract? -
ANS Straight Life
Which option is being utilized when the insurer accumulates dividends at interest and then uses
the accumulated dividends, plus interest, and the policy cash value to pay the policy up early? -
ANS Paid Up Option
A couple owns a life insurance policy with a Children's Term rider. Their daughter is reaching
the maximum age of dependent coverage, so she will have to convert to permanent insurance
in the near future. Which of the following will she need to provide for proof of insurability? -
ANS Proof Of Insurability is not required
COPYRIGHT © 2025 FYNDLAY ALL RIGHTS RESERVED 2
EXAM 2025 QUESTIONS AND ANSWERS
An insurer neglects to pay a legitimate claim that is covered under the terms of the policy.
Which of the following insurance principles has the insurer violated? - ANS Consideration
Which of the following statements regarding HIV testing for insurance purposes is NOT true? -
ANS Insurers are barred from requesting HIV testing.
All of the following are dividend options EXCEPT - ANS Fixed period installments
Which of the following documents delivered to the policyowner includes information about
premium amounts, cash values, surrender values and death benefits for specific policy years? -
ANS A Policy Summary
COPYRIGHT © 2025 FYNDLAY ALL RIGHTS RESERVED 1
, A 60-year-old participant in a 401(k) plan takes a distribution and rolls it over to an IRA within
60 days. Which of the following is true? - ANS The amount of the distribution is reduced by
the amount of a 20% withholding tax.
Which of the following best describes annually renewable term insurance? - ANS It's Level
Term Insurance
Which of the following policies would be classified as a traditional level premium contract? -
ANS Straight Life
Which option is being utilized when the insurer accumulates dividends at interest and then uses
the accumulated dividends, plus interest, and the policy cash value to pay the policy up early? -
ANS Paid Up Option
A couple owns a life insurance policy with a Children's Term rider. Their daughter is reaching
the maximum age of dependent coverage, so she will have to convert to permanent insurance
in the near future. Which of the following will she need to provide for proof of insurability? -
ANS Proof Of Insurability is not required
COPYRIGHT © 2025 FYNDLAY ALL RIGHTS RESERVED 2
