Louisiana Life Insurance Series 101 Study Guide 1-25
Study online at https://quizlet.com/_hq8fcc
1. STATEMENTS BY AN APPLICANT CONCERNING PERSONAL HEALTH HISTORY,
FAMILY HEALTH HISTORY, OCCUPATION, AND HOBBIES ARE REFERRED TO AS
A. depictions
B. certifications
C. representations.
D. personal characteristics.: representations.
2. MORTALITY IS BASED ON A LARGE RISK POOL OF
A. income and time.
B. people and time.
C. geographic area and time.
D. family history and hobbies.: people and time.
3. THE PURPOSE OF THE SPENDTHRIFT CLAUSE IN A LIFE INSURANCE POLICY IS
TO
A. determine the order of death if the insured and beneficiary die in
the same accident.)
B. prevent creditors of a beneficiary from claiming any future death
benefits payable to the beneficiary.
C. allow the insured to directly pay death benefit proceeds to a
creditor.
D. establish the payout of death benefits if the primary beneficiary
dies before the contingent beneficiary.: prevent creditors of a beneficiary from claiming any future
death benefits payable to the beneficiary.
4. WHICH OF THE FOLLOWING IS A PROVISION IN AN INTEREST - SENSITIVE
LIFE POLICY WHICH ALLOWS THE POLICY OWNER TO WITHDRAW THE POLICY'S
CASH VALUE INTEREST FREE?
A. Partial surrender.
B. Automatic premium loan.
C. Waiver of premium.
D. Spendthrift clause: Partial surrender.
5. PURCHASING INSURANCE IS AN EXAMPLE OF WHICH OF THE FOLLOWING
METHODS OF HANDLING RISK?
A. Retention
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, Louisiana Life Insurance Series 101 Study Guide 1-25
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B. Avoidance
C. Acceptance
D. Transference: Transference
6. THE COMMISSIONER OF INSURANCE MAY SUSPEND ANY INSURANCE PRO-
DUCER'S LICENSE FOR ALL OF THE FOLLOWING REASONS EXCEPT
A. soliciting insurance in adjoining states.
B. Violation of any insurance law of this state
C. obtaining the license through misrepresentation
D. materially misrepresenting the terms and conditions of any
insurance contract.: soliciting insurance in adjoining states.
7. THE PRIMARY USE OF AN ANNUITY IS TO PROVIDE FUNDS FOR
A. education.
B. long - term care.
C. retirement.
D. burial: retirement.
8. THE PROCESS BY WHICH AN INSURER DECIDES TO WHOM TO ISSUE A POLICY
IS KNOWN AS
A. adverse selection.
B. risk classification
C. assignment.
D. underwriting.: underwriting.
9. BEFORE RECEIVING AN INSURANCE LICENSE, AN APPLICANT MUST
A. swear an oath before a judge.
B. provide a copy of their high - school diploma.
C. post a $10,000 bond to guarantee faithful performance.
D. pay a license application fee to the Louisiana Department of
Insurance.: pay a license application fee to the Louisiana Department of Insurance.
10. WHAT IS THE PURPOSE OF A GRACE PERIOD IN LIFE INSURANCE POLICIES?
A. To guarantee the insured's right for a premium refund
B. To prevent unintentional policy lapse
C. To reinstate the policy after it has been surrendered
D. To allow the insurer to waive the premium: To prevent unintentional policy lapse.
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Study online at https://quizlet.com/_hq8fcc
1. STATEMENTS BY AN APPLICANT CONCERNING PERSONAL HEALTH HISTORY,
FAMILY HEALTH HISTORY, OCCUPATION, AND HOBBIES ARE REFERRED TO AS
A. depictions
B. certifications
C. representations.
D. personal characteristics.: representations.
2. MORTALITY IS BASED ON A LARGE RISK POOL OF
A. income and time.
B. people and time.
C. geographic area and time.
D. family history and hobbies.: people and time.
3. THE PURPOSE OF THE SPENDTHRIFT CLAUSE IN A LIFE INSURANCE POLICY IS
TO
A. determine the order of death if the insured and beneficiary die in
the same accident.)
B. prevent creditors of a beneficiary from claiming any future death
benefits payable to the beneficiary.
C. allow the insured to directly pay death benefit proceeds to a
creditor.
D. establish the payout of death benefits if the primary beneficiary
dies before the contingent beneficiary.: prevent creditors of a beneficiary from claiming any future
death benefits payable to the beneficiary.
4. WHICH OF THE FOLLOWING IS A PROVISION IN AN INTEREST - SENSITIVE
LIFE POLICY WHICH ALLOWS THE POLICY OWNER TO WITHDRAW THE POLICY'S
CASH VALUE INTEREST FREE?
A. Partial surrender.
B. Automatic premium loan.
C. Waiver of premium.
D. Spendthrift clause: Partial surrender.
5. PURCHASING INSURANCE IS AN EXAMPLE OF WHICH OF THE FOLLOWING
METHODS OF HANDLING RISK?
A. Retention
1/6
, Louisiana Life Insurance Series 101 Study Guide 1-25
Study online at https://quizlet.com/_hq8fcc
B. Avoidance
C. Acceptance
D. Transference: Transference
6. THE COMMISSIONER OF INSURANCE MAY SUSPEND ANY INSURANCE PRO-
DUCER'S LICENSE FOR ALL OF THE FOLLOWING REASONS EXCEPT
A. soliciting insurance in adjoining states.
B. Violation of any insurance law of this state
C. obtaining the license through misrepresentation
D. materially misrepresenting the terms and conditions of any
insurance contract.: soliciting insurance in adjoining states.
7. THE PRIMARY USE OF AN ANNUITY IS TO PROVIDE FUNDS FOR
A. education.
B. long - term care.
C. retirement.
D. burial: retirement.
8. THE PROCESS BY WHICH AN INSURER DECIDES TO WHOM TO ISSUE A POLICY
IS KNOWN AS
A. adverse selection.
B. risk classification
C. assignment.
D. underwriting.: underwriting.
9. BEFORE RECEIVING AN INSURANCE LICENSE, AN APPLICANT MUST
A. swear an oath before a judge.
B. provide a copy of their high - school diploma.
C. post a $10,000 bond to guarantee faithful performance.
D. pay a license application fee to the Louisiana Department of
Insurance.: pay a license application fee to the Louisiana Department of Insurance.
10. WHAT IS THE PURPOSE OF A GRACE PERIOD IN LIFE INSURANCE POLICIES?
A. To guarantee the insured's right for a premium refund
B. To prevent unintentional policy lapse
C. To reinstate the policy after it has been surrendered
D. To allow the insurer to waive the premium: To prevent unintentional policy lapse.
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