Kansas Life & Health Insurance Final
Exam with Complete Solutions
When can a policy owner change a revocable beneficiary? - ANS-Anytime
J would like to maintain the right to change beneficiaries. Which beneficiary designation
should be used? - ANS-Revocable
M purchased an Accidental Death and Dismemberment (AD&D) policy and named his
son as beneficiary. M has the right to change the beneficiary designation at anytime.
What type of beneficiary is his son? - ANS-Revocable Beneficiary
revocable beneficiary - ANS-the policy owner may change the beneficiary at any time
without notifying or getting permission from the beneficiary.
K is the insured and P is the sole beneficiary on a life insurance policy. Both are
involved in a fatal accident where K dies before P. Under the Common Disaster
provision, which of these statements is true? - ANS-Proceeds will be paid to K's estate if
P dies within a specified time
How would a contingent beneficiary receive the policy proceeds in an Accidental Death
and Dismemberment (AD&D) policy? - ANS-If the primary beneficiary dies before the
insured
Which statement is true regarding a minor beneficiary - ANS-Normally, a guardian is
required to be appointed in the Beneficiary clause of the contract
A life insurance application must be signed by all of these EXCEPT - ANS-Beneficiaries
are not required to sign an insurance application
K applies for a life insurance policy on herself and submits the initial premium with the
application. She is given a receipt by the agent stating that coverage begins
immediately if the application is approved. What kind of receipt was used? - ANS-A
conditional receipt indicates that certain conditions must be met in order for the
insurance coverage to go into effect.
P is a producer who notices 5 questions on a life application were not answered. What
actions should P take? - ANS-Schedule another appointment with the applicant to
complete the unanswered questions
, M completes an application for life insurance but does not pay the initial premium. All of
these actions must occur before M's policy goes into effect EXCEPT - ANS-Free-look
period has expired
An applicant's medical information received from the Medical Information Bureau (MIB)
may be furnished to the - ANS-Applicant's physician
On August 6, D submitted an application for a $50,000 Life Insurance policy and did not
pay the initial premium. On August 18, D went to his doctor complaining of chest pains
and some tests were given by the doctor. The life policy was delivered by the producer
on August 20 and D explains what had recently taken place with the doctor. What action
should the producer then take? - ANS-Collect initial premium along with a signed health
statement
What is being delivered during a policy delivery? - ANS-Insurance contract to the
proposed insured
Before a life insurance policy is issued, which of these components of the contract is
required? - ANS-Applicant's signature on application
Which of the following is an important underwriting principle of group life insurance? -
ANS-Everyone must be covered in the group
A noncontributory group term life plan is characterized by - ANS-the entire cost of the
plan is paid for by the employer
A person who is insured within a group contract will be given a - ANS-certificate
Group life insurance policies are generally written as - ANS-annually renewable term
Which provision is NOT a requirement in a group life policy? - ANS-Accidental
If its employees share in the cost of insurance, what type of group life insurance plan
would a corporation have? - ANS-Contributory
W is a 39-year old female who just purchased an annuity to provide income for life
starting at age 60. All of these would be acceptable annuity choices EXCEPT a(n) -
ANS-Immediate annuity
What type of annuity has a cash value that is based upon the performance of it's
underlying investment funds? - ANS-Variable
T has an annuity that guarantees an income payment for the rest of his life. The
contract also guarantees that if T dies before receiving payments for 20 years, the
remaining payments will be paid to his son for the balance of the 20 years. What type of
annuity is this - ANS-Life Annuity with period certain
Exam with Complete Solutions
When can a policy owner change a revocable beneficiary? - ANS-Anytime
J would like to maintain the right to change beneficiaries. Which beneficiary designation
should be used? - ANS-Revocable
M purchased an Accidental Death and Dismemberment (AD&D) policy and named his
son as beneficiary. M has the right to change the beneficiary designation at anytime.
What type of beneficiary is his son? - ANS-Revocable Beneficiary
revocable beneficiary - ANS-the policy owner may change the beneficiary at any time
without notifying or getting permission from the beneficiary.
K is the insured and P is the sole beneficiary on a life insurance policy. Both are
involved in a fatal accident where K dies before P. Under the Common Disaster
provision, which of these statements is true? - ANS-Proceeds will be paid to K's estate if
P dies within a specified time
How would a contingent beneficiary receive the policy proceeds in an Accidental Death
and Dismemberment (AD&D) policy? - ANS-If the primary beneficiary dies before the
insured
Which statement is true regarding a minor beneficiary - ANS-Normally, a guardian is
required to be appointed in the Beneficiary clause of the contract
A life insurance application must be signed by all of these EXCEPT - ANS-Beneficiaries
are not required to sign an insurance application
K applies for a life insurance policy on herself and submits the initial premium with the
application. She is given a receipt by the agent stating that coverage begins
immediately if the application is approved. What kind of receipt was used? - ANS-A
conditional receipt indicates that certain conditions must be met in order for the
insurance coverage to go into effect.
P is a producer who notices 5 questions on a life application were not answered. What
actions should P take? - ANS-Schedule another appointment with the applicant to
complete the unanswered questions
, M completes an application for life insurance but does not pay the initial premium. All of
these actions must occur before M's policy goes into effect EXCEPT - ANS-Free-look
period has expired
An applicant's medical information received from the Medical Information Bureau (MIB)
may be furnished to the - ANS-Applicant's physician
On August 6, D submitted an application for a $50,000 Life Insurance policy and did not
pay the initial premium. On August 18, D went to his doctor complaining of chest pains
and some tests were given by the doctor. The life policy was delivered by the producer
on August 20 and D explains what had recently taken place with the doctor. What action
should the producer then take? - ANS-Collect initial premium along with a signed health
statement
What is being delivered during a policy delivery? - ANS-Insurance contract to the
proposed insured
Before a life insurance policy is issued, which of these components of the contract is
required? - ANS-Applicant's signature on application
Which of the following is an important underwriting principle of group life insurance? -
ANS-Everyone must be covered in the group
A noncontributory group term life plan is characterized by - ANS-the entire cost of the
plan is paid for by the employer
A person who is insured within a group contract will be given a - ANS-certificate
Group life insurance policies are generally written as - ANS-annually renewable term
Which provision is NOT a requirement in a group life policy? - ANS-Accidental
If its employees share in the cost of insurance, what type of group life insurance plan
would a corporation have? - ANS-Contributory
W is a 39-year old female who just purchased an annuity to provide income for life
starting at age 60. All of these would be acceptable annuity choices EXCEPT a(n) -
ANS-Immediate annuity
What type of annuity has a cash value that is based upon the performance of it's
underlying investment funds? - ANS-Variable
T has an annuity that guarantees an income payment for the rest of his life. The
contract also guarantees that if T dies before receiving payments for 20 years, the
remaining payments will be paid to his son for the balance of the 20 years. What type of
annuity is this - ANS-Life Annuity with period certain
