WEBCE INSURANCE EXAM 2024 QUESTIONS WITH 100% CORRECT ANSWERS!!
Agent Thompson received a letter from the Department of Insurance asking her to provide proof of
completing the continuing education requirements. Within how many days must Agent Thompson
respond to the Department's inquiry?
20
30
10
45 - (answer)10 days
Abby lives in Ohio, where she is licensed as an insurance producer. She wants to apply for a nonresident
license in Pennsylvania. Which of the following conditions must she satisfy?
She must move to Pennsylvania.
She must surrender her Ohio license.
She must be sponsored by a producer licensed in Pennsylvania.
She must show her Ohio license is in good standing. - (answer)She must show her Ohio license is in
good standing
The requirement that an insurable interest must exist when life insurance is purchased is intended to
prevent people from doing which of the following?
using life insurance to fund future cash needs
using life insurance as a speculative investment on another person's
life
overusing life insurance
designating an ineligible person as the policy beneficiary - (answer)using life insurance as a speculative
interest on another person's life
,WEBCE INSURANCE EXAM 2024 QUESTIONS WITH 100% CORRECT ANSWERS!!
Which one of the following best describes a policy that has a relatively low face amount and has
premiums that are paid to an insurance agent who generally calls on the policyowner at home to collect
them?
group life insurance
industrial life insurance
ordinary term insurance
ordinary whole life insurance - (answer)industrial life insurance
Sylvia's insurer guarantees a fixed death benefit for the policy she owns. Based on this, which one of the
following benefits is also most likely guaranteed with this policy?
the policy's cash value
her ability to borrow an interest-free loan from the cash value
policy dividends
payment of premiums on Sylvia's behalf in the event of emergencies - (answer)the policy's cash value
Carl is a policyowner who prefers to pay premiums monthly rather than annually. How will Carl's
insurance company adjust his premium to accommodate this request?
The insurer divides the annual premium by 12 and then adds a modest charge.
The insurer simply divides the annual premium by 12.
The insurer divides the annual premium by 12 and then reduces the premium amount to reflect the fact
that premiums will be paid throughout the year.
The insurer divides the annual premium by 12 and then adds a modest charge in the first policy year
after which premiums equal the annual premium divided by 12. - (answer)The insurer divides the annual
premium by 12 and then adds a modest charge
All of the following statements about key person life insurance are correct, EXCEPT:
,WEBCE INSURANCE EXAM 2024 QUESTIONS WITH 100% CORRECT ANSWERS!!
The business applies for, owns, and is the beneficiary of the policy covering the life of a key employee.
Upon the insured employee's death, the employee's surviving family receives the policy's death benefit.
Key person, or key employee, life insurance is an example of third-party ownership.
Life insurance used as key person life is normally owned by the business rather than the insured. -
(answer)XXX Upon the insured employee's death, the employee's surviving family receives the policy
benefit XXX
The activities a producer performs to support the insurance company in learning all it can about the
applicant when seeking applications for insurance are generally called:
field underwriting
fiduciary process
agency development
due diligence - (answer)field underwriting
How is increasing term life insurance normally sold?
as an endorsement
as a permanent insurance policy
as a stand-alone term life insurance policy
as a rider attached to a permanent life insurance policy - (answer)as a rider attached to a permanent
insurance policy
Andrea bought a $300,000 term-to-age-55 policy. All the following statements about her policy are
correct EXCEPT:
The policy provides $300,000 of coverage until Andrea reaches age 55.
The policy will generate a cash value that is payable at age 55.
, WEBCE INSURANCE EXAM 2024 QUESTIONS WITH 100% CORRECT ANSWERS!!
It is possible that Andrea could convert the term policy to a life insurance policy that provides coverage
for Andrea's entire life even if she becomes uninsurable.
The premium for the policy stays the same until the policy expires. - (answer)XXX The policy will
generate a cash value that is payable at age 55 XXX
The basic purpose for the re-entry option with a renewable term life insurance policy is to let the
policyowner:
reinstate the policy after it has lapsed for nonpayment of premiums without having to provide evidence
of insurability
convert the term policy to a permanent life insurance policy
renew the policy with a higher face amount without having to provide evidence of insurability
renew the policy at lower current rates rather than guaranteed renewal rates - (answer)renew the
policy at lower current rates rather than guaranteed renewal rates
Term life insurance is well suited for all the following needs EXCEPT:
mortgage protection
a source of emergency cash for any financial need
inexpensive protection until the policyowner can afford permanent life insurance
protection while the family children are living at home or attending college - (answer)XXX a source of
emergency cash for any financial need XXX
Premium rates will vary unpredictably depending on the insurer's actual experience in which one of the
following types of whole life insurance?
straight whole life
current assumption whole life
limited pay whole life
graded premium whole life - (answer)current assumption whole life
Agent Thompson received a letter from the Department of Insurance asking her to provide proof of
completing the continuing education requirements. Within how many days must Agent Thompson
respond to the Department's inquiry?
20
30
10
45 - (answer)10 days
Abby lives in Ohio, where she is licensed as an insurance producer. She wants to apply for a nonresident
license in Pennsylvania. Which of the following conditions must she satisfy?
She must move to Pennsylvania.
She must surrender her Ohio license.
She must be sponsored by a producer licensed in Pennsylvania.
She must show her Ohio license is in good standing. - (answer)She must show her Ohio license is in
good standing
The requirement that an insurable interest must exist when life insurance is purchased is intended to
prevent people from doing which of the following?
using life insurance to fund future cash needs
using life insurance as a speculative investment on another person's
life
overusing life insurance
designating an ineligible person as the policy beneficiary - (answer)using life insurance as a speculative
interest on another person's life
,WEBCE INSURANCE EXAM 2024 QUESTIONS WITH 100% CORRECT ANSWERS!!
Which one of the following best describes a policy that has a relatively low face amount and has
premiums that are paid to an insurance agent who generally calls on the policyowner at home to collect
them?
group life insurance
industrial life insurance
ordinary term insurance
ordinary whole life insurance - (answer)industrial life insurance
Sylvia's insurer guarantees a fixed death benefit for the policy she owns. Based on this, which one of the
following benefits is also most likely guaranteed with this policy?
the policy's cash value
her ability to borrow an interest-free loan from the cash value
policy dividends
payment of premiums on Sylvia's behalf in the event of emergencies - (answer)the policy's cash value
Carl is a policyowner who prefers to pay premiums monthly rather than annually. How will Carl's
insurance company adjust his premium to accommodate this request?
The insurer divides the annual premium by 12 and then adds a modest charge.
The insurer simply divides the annual premium by 12.
The insurer divides the annual premium by 12 and then reduces the premium amount to reflect the fact
that premiums will be paid throughout the year.
The insurer divides the annual premium by 12 and then adds a modest charge in the first policy year
after which premiums equal the annual premium divided by 12. - (answer)The insurer divides the annual
premium by 12 and then adds a modest charge
All of the following statements about key person life insurance are correct, EXCEPT:
,WEBCE INSURANCE EXAM 2024 QUESTIONS WITH 100% CORRECT ANSWERS!!
The business applies for, owns, and is the beneficiary of the policy covering the life of a key employee.
Upon the insured employee's death, the employee's surviving family receives the policy's death benefit.
Key person, or key employee, life insurance is an example of third-party ownership.
Life insurance used as key person life is normally owned by the business rather than the insured. -
(answer)XXX Upon the insured employee's death, the employee's surviving family receives the policy
benefit XXX
The activities a producer performs to support the insurance company in learning all it can about the
applicant when seeking applications for insurance are generally called:
field underwriting
fiduciary process
agency development
due diligence - (answer)field underwriting
How is increasing term life insurance normally sold?
as an endorsement
as a permanent insurance policy
as a stand-alone term life insurance policy
as a rider attached to a permanent life insurance policy - (answer)as a rider attached to a permanent
insurance policy
Andrea bought a $300,000 term-to-age-55 policy. All the following statements about her policy are
correct EXCEPT:
The policy provides $300,000 of coverage until Andrea reaches age 55.
The policy will generate a cash value that is payable at age 55.
, WEBCE INSURANCE EXAM 2024 QUESTIONS WITH 100% CORRECT ANSWERS!!
It is possible that Andrea could convert the term policy to a life insurance policy that provides coverage
for Andrea's entire life even if she becomes uninsurable.
The premium for the policy stays the same until the policy expires. - (answer)XXX The policy will
generate a cash value that is payable at age 55 XXX
The basic purpose for the re-entry option with a renewable term life insurance policy is to let the
policyowner:
reinstate the policy after it has lapsed for nonpayment of premiums without having to provide evidence
of insurability
convert the term policy to a permanent life insurance policy
renew the policy with a higher face amount without having to provide evidence of insurability
renew the policy at lower current rates rather than guaranteed renewal rates - (answer)renew the
policy at lower current rates rather than guaranteed renewal rates
Term life insurance is well suited for all the following needs EXCEPT:
mortgage protection
a source of emergency cash for any financial need
inexpensive protection until the policyowner can afford permanent life insurance
protection while the family children are living at home or attending college - (answer)XXX a source of
emergency cash for any financial need XXX
Premium rates will vary unpredictably depending on the insurer's actual experience in which one of the
following types of whole life insurance?
straight whole life
current assumption whole life
limited pay whole life
graded premium whole life - (answer)current assumption whole life
