Part 2 Louisiana Life Insurance Series Study
Guide 1-58 UPDATED ACTUAL Exam
Questions and CORRECT Answers
PRIOR TO ANNUITIZATION, WHAT IS THE NONFORFEITURE OF AN ANNUITY? -
CORRECT ANSWER -All premiums paid, plus interest, minus any withdrawals and
surrender charges.
UNDER TRADITIONAL FIXED ANNUITY CONTRACTS, THE PARTY WHO ASSUMES
THE INVESTMENT RISK IS THE? - CORRECT ANSWER -Contract owner
AN APPLICANT PURCHASES A LIFE INSURANCE POLICY TO AVOID THE FORCED
SALE OF ASSETS UPON HIS DEATH. WHAT IS THIS ACTION CALLED? - CORRECT
ANSWER -Estate conservation
MORTALITY IS BASED ON A LARGE RISK POOL OF: - CORRECT ANSWER -
People and time
WHO IS THE BENEFICIARY OF A KEY PERSON INSURANCE POLICY? - CORRECT
ANSWER -Employer
EVEN THOUGH THE PREMIUM HAS NOT BEEN PAID, A LIFE INSURANCE POLICY
WILL REMAIN IN FORCE FOR A PERIOD OF TIME AFTER THE PREMIUM IS DUE
BECAUSE OF THE: - CORRECT ANSWER -Grace period provision
IF A RETIREMENT PLAN IS ESTABLISHED FOR THE BENEFIT OF THE EMPLOYEES
AND HAS A VESTING REQUIREMENT, THE PLAN MAY BE CLASSIFIED AS -
CORRECT ANSWER -Qualified
AN INSURANCE CONTRACT IN WHICH THE COMPANY MAKES PROMISES THAT
ARE LEGALLY ENFORCEABLE IS - CORRECT ANSWER -Conditional
, AN IMMEDIATE ANNUITY BEGINS MAKING PAYMENTS AFTER THE - CORRECT
ANSWER -First premium has been paid
IN WHICH TYPE OF ANNUITY ARE THE FUNDS INVESTED IN A SEPARATE
ACCOUNT? - CORRECT ANSWER -Variable
RISKS ARE GENERALLY NOT INSURED IF - CORRECT ANSWER -The loss is
expected
UNDER A UNIVERSAL LIFE INSURANCE POLICY, A CORRIDOR REPRESENTS THE
Gap - CORRECT ANSWER -between the total death benefit and the policy's cash value
THE PURPOSE OF REGULATION OF INSURANCE ADVERTISING IS TO DO ALL OF
FOLLOWING EXCEPT: - CORRECT ANSWER -Maintain a low profile for insurance
products
WHICH TYPE OF BENEFICIARY CANNOT BE CHANGED WITHOUT CONSENT -
CORRECT ANSWER -The beneficiary is irrevocable
UNDER THE EXCLUSION CLAUSE, WHICH IS A SCENARIO THAT WOULD NOT BE
COVERED IF DEATH RESULTED - CORRECT ANSWER -Commercial pilot or crew
member
THE PRIMARY USE OF AN ANNUITY IS TO PROVIDE FUNDS FOR - CORRECT
ANSWER -Retirement
STATEMENTS BY AN APPLICANT CONCERNING PERSONAL HEALTH HISTORY,
OCCUPATION, HOBBIES ARE - CORRECT ANSWER -Representation
Guide 1-58 UPDATED ACTUAL Exam
Questions and CORRECT Answers
PRIOR TO ANNUITIZATION, WHAT IS THE NONFORFEITURE OF AN ANNUITY? -
CORRECT ANSWER -All premiums paid, plus interest, minus any withdrawals and
surrender charges.
UNDER TRADITIONAL FIXED ANNUITY CONTRACTS, THE PARTY WHO ASSUMES
THE INVESTMENT RISK IS THE? - CORRECT ANSWER -Contract owner
AN APPLICANT PURCHASES A LIFE INSURANCE POLICY TO AVOID THE FORCED
SALE OF ASSETS UPON HIS DEATH. WHAT IS THIS ACTION CALLED? - CORRECT
ANSWER -Estate conservation
MORTALITY IS BASED ON A LARGE RISK POOL OF: - CORRECT ANSWER -
People and time
WHO IS THE BENEFICIARY OF A KEY PERSON INSURANCE POLICY? - CORRECT
ANSWER -Employer
EVEN THOUGH THE PREMIUM HAS NOT BEEN PAID, A LIFE INSURANCE POLICY
WILL REMAIN IN FORCE FOR A PERIOD OF TIME AFTER THE PREMIUM IS DUE
BECAUSE OF THE: - CORRECT ANSWER -Grace period provision
IF A RETIREMENT PLAN IS ESTABLISHED FOR THE BENEFIT OF THE EMPLOYEES
AND HAS A VESTING REQUIREMENT, THE PLAN MAY BE CLASSIFIED AS -
CORRECT ANSWER -Qualified
AN INSURANCE CONTRACT IN WHICH THE COMPANY MAKES PROMISES THAT
ARE LEGALLY ENFORCEABLE IS - CORRECT ANSWER -Conditional
, AN IMMEDIATE ANNUITY BEGINS MAKING PAYMENTS AFTER THE - CORRECT
ANSWER -First premium has been paid
IN WHICH TYPE OF ANNUITY ARE THE FUNDS INVESTED IN A SEPARATE
ACCOUNT? - CORRECT ANSWER -Variable
RISKS ARE GENERALLY NOT INSURED IF - CORRECT ANSWER -The loss is
expected
UNDER A UNIVERSAL LIFE INSURANCE POLICY, A CORRIDOR REPRESENTS THE
Gap - CORRECT ANSWER -between the total death benefit and the policy's cash value
THE PURPOSE OF REGULATION OF INSURANCE ADVERTISING IS TO DO ALL OF
FOLLOWING EXCEPT: - CORRECT ANSWER -Maintain a low profile for insurance
products
WHICH TYPE OF BENEFICIARY CANNOT BE CHANGED WITHOUT CONSENT -
CORRECT ANSWER -The beneficiary is irrevocable
UNDER THE EXCLUSION CLAUSE, WHICH IS A SCENARIO THAT WOULD NOT BE
COVERED IF DEATH RESULTED - CORRECT ANSWER -Commercial pilot or crew
member
THE PRIMARY USE OF AN ANNUITY IS TO PROVIDE FUNDS FOR - CORRECT
ANSWER -Retirement
STATEMENTS BY AN APPLICANT CONCERNING PERSONAL HEALTH HISTORY,
OCCUPATION, HOBBIES ARE - CORRECT ANSWER -Representation
