Insurance Exam Practice Exam: Questions and Answers

Insurance Exam Practice Exam: Questions and Answers Pure or straight life - Correct Answer Which of the following annuity benefit payment options would generate the highest monthly payments to the contract owner upon annuitization? Paid-up additions 1-year term Cash - Correct Answer All of the following are dividend options on a participating life insurance policy: Insured - Correct Answer The person upon whose life an annuity is based is known as the: Reduced paid-up - Correct Answer When a policyowner uses the cash value in their policy to buy a lesser amount of permanent life insurance, they have exercised which nonforfeiture option: Interest only - Correct Answer Which of the following life insurance settlement options enables the beneficiary to conserve the proceeds of a life insurance policy? The account value - Correct Answer In the case of a variable annuity sold to a senior citizen in this state for which the owner has directed that the premium be invested in the mutual funds underlying the contract during the 30-day cancellation period, cancellation during that period entitles the owner to a refund of: They are purchased by those who are worried about outliving their savings. They are not suitable as short term investments.