Pearson Vue Life Insurance Practice Exam
comprehensive questions | FREQUENTLY
MOST TESTED QUESTIONS AND
VERIFIED SOLUTIONS/GET IT 100%
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P.wants.to.name.her.husband.as.the.beneficiary.of.her.life.policy..Howe
ver,.she.wishes.to.retain.all.of.the.rights.of.ownership..P.should.have.he
r.husband.named.as.the:
A.irrevocable.beneficiary
B.revocable.beneficiary
C.secondary.beneficiary.-.CORRECT.ANSWER-B
A.contract.that.has.as.its.basic.function.the.systematic.liquidation.of.a
ccumulated.assets.through.periodic.payments.is.called.an:
A.indemnity.contract
B.investment.contract
C.endowment
D.annuity.-.CORRECT.ANSWER-D
An.insurance.producer.takes.an.application.for.a.life.insurance.policy.
but.does.not.collect.the.initial.premium..On.delivery.of.the.policy.to.the.
proposed.insured,.the.producer.must.collect.the.initial.premium.and.w
hich.of.the.following?
,A.A.copy.of.the.MIB.report
B.The.insured's.signed.statement.of.continued.good.health
C.A.copy.of.the.conditional.receipt
D.A.copy.of.the.temporary.insurance.agreement.that.covered.the.perio
d.between.the.application.date.and.the.delivery.date..-
.CORRECT.ANSWER-B
An.employer.can.deduct.premium.payments.as.an.ordinary.business.e
xpense.for.which.of.the.following.life.coverages?
A.Buy.and.Sell.Agreements
B.Group
C.Key.Employee
D.Joint.Life,.if.the.business.is.named.as.the.beneficiary.-
.CORRECT.ANSWER-B
A.producer.takes.applications.from.identical.twins.who.want.to.buy.th
e.same.type.of.policy.in.the.same.amount..The.insurer.issues.the.polici
es.as.applied.for,.but.charges.a.25.percent.higher.premium.for.one.of.th
e.policies..The.difference.in.premiums.is.probably.due.to.which.of.the.fo
llowing.factors?
A.Incontestability
B.Insurable.interest
C.Consideration
D.Risk.classification.-.CORRECT.ANSWER-D
In.the.event.of.an.insured's.death,.which.of.the.following.provides.an.in
come.for.the.family.during.a.designated.period.of.time.followed.by.a.lu
mp.sum.death.benefit?
, A.Family.Income.rider
B.Survivorship.Life.policy
C.Joint.Life.policy
D.Modified.Life.policy.-.CORRECT.ANSWER-A
Which.of.the.following.statements.is.CORRECT.about.Group.Life.conve
rsion.privileges?
A.Under.the.COBRA.law,.a.departing.employee.may.elect.to.remain.a.m
ember.of.the.Group.Life.plan.for.a.limited.period.of.time.
B.Death.during.the.conversion.period.is.covered.even.if.the.departing.e
mployee.chose.not.to.convert.the.policy.
C.A.departing.employee.must.individually.pay.the.premium.if.the.empl
oyee.elects.to.be.covered.during.the.conversion.period.
D.If.a.departing.employee.elects.to.convert.a.life.insurance.policy,.the.i
nsurer.must.offer.Term.insurance.as.one.of.the.choices..-
.CORRECT.ANSWER-B
Which.of.the.following.policies.is.an.interest-
sensitive.form.of.permanent.protection?
A.Universal.Life
B.Limited-Pay.Life
C.Graded.Premium.Whole.Life
comprehensive questions | FREQUENTLY
MOST TESTED QUESTIONS AND
VERIFIED SOLUTIONS/GET IT 100%
ACCURATE!!
P.wants.to.name.her.husband.as.the.beneficiary.of.her.life.policy..Howe
ver,.she.wishes.to.retain.all.of.the.rights.of.ownership..P.should.have.he
r.husband.named.as.the:
A.irrevocable.beneficiary
B.revocable.beneficiary
C.secondary.beneficiary.-.CORRECT.ANSWER-B
A.contract.that.has.as.its.basic.function.the.systematic.liquidation.of.a
ccumulated.assets.through.periodic.payments.is.called.an:
A.indemnity.contract
B.investment.contract
C.endowment
D.annuity.-.CORRECT.ANSWER-D
An.insurance.producer.takes.an.application.for.a.life.insurance.policy.
but.does.not.collect.the.initial.premium..On.delivery.of.the.policy.to.the.
proposed.insured,.the.producer.must.collect.the.initial.premium.and.w
hich.of.the.following?
,A.A.copy.of.the.MIB.report
B.The.insured's.signed.statement.of.continued.good.health
C.A.copy.of.the.conditional.receipt
D.A.copy.of.the.temporary.insurance.agreement.that.covered.the.perio
d.between.the.application.date.and.the.delivery.date..-
.CORRECT.ANSWER-B
An.employer.can.deduct.premium.payments.as.an.ordinary.business.e
xpense.for.which.of.the.following.life.coverages?
A.Buy.and.Sell.Agreements
B.Group
C.Key.Employee
D.Joint.Life,.if.the.business.is.named.as.the.beneficiary.-
.CORRECT.ANSWER-B
A.producer.takes.applications.from.identical.twins.who.want.to.buy.th
e.same.type.of.policy.in.the.same.amount..The.insurer.issues.the.polici
es.as.applied.for,.but.charges.a.25.percent.higher.premium.for.one.of.th
e.policies..The.difference.in.premiums.is.probably.due.to.which.of.the.fo
llowing.factors?
A.Incontestability
B.Insurable.interest
C.Consideration
D.Risk.classification.-.CORRECT.ANSWER-D
In.the.event.of.an.insured's.death,.which.of.the.following.provides.an.in
come.for.the.family.during.a.designated.period.of.time.followed.by.a.lu
mp.sum.death.benefit?
, A.Family.Income.rider
B.Survivorship.Life.policy
C.Joint.Life.policy
D.Modified.Life.policy.-.CORRECT.ANSWER-A
Which.of.the.following.statements.is.CORRECT.about.Group.Life.conve
rsion.privileges?
A.Under.the.COBRA.law,.a.departing.employee.may.elect.to.remain.a.m
ember.of.the.Group.Life.plan.for.a.limited.period.of.time.
B.Death.during.the.conversion.period.is.covered.even.if.the.departing.e
mployee.chose.not.to.convert.the.policy.
C.A.departing.employee.must.individually.pay.the.premium.if.the.empl
oyee.elects.to.be.covered.during.the.conversion.period.
D.If.a.departing.employee.elects.to.convert.a.life.insurance.policy,.the.i
nsurer.must.offer.Term.insurance.as.one.of.the.choices..-
.CORRECT.ANSWER-B
Which.of.the.following.policies.is.an.interest-
sensitive.form.of.permanent.protection?
A.Universal.Life
B.Limited-Pay.Life
C.Graded.Premium.Whole.Life
