Texas Life and Health Insurance Exam
TEXAS LIFE AND HEALTH INSURANCE EXAM NEWEST ACTUAL
EXAM COMPLETE 150 QUESTIONS AND CORRECT DETAILED
ANSWERS (VERIFIED ANSWERS) |ALREADY GRADED A+||BRAND
NEW VERSION!!
Which of the following actions require a policy owner to provide proof of
insurability in an Adjustable Life policy? - Correct Answer-increase face amount
When a policy owner exchanges a term policy for a whole life policy without
providing proof of good health, which of these apply? - Correct Answer-
Conversion provision
What type of life insurance are credit policies issued as? - Correct Answer-Term
How long does the coverage normally remain on a limited-pay life policy? -
Correct Answer-age 100
All of these statements about Equity Indexed Life Insurance are correct EXCEPT
Cash value has a minimum rate of accumulation
If the gain on the index goes beyond the policy's minimum rate of return, the
cash value will mirror that of the index
The premiums can be lowered or raised, based on investment performance
Tied to an equity index such as the S&P 500 - Correct Answer-The premiums can
be lowered or raised, based on investment performance
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, Texas Life and Health Insurance Exam
Which of these is an element of a Variable Life policy? - Correct Answer-A fixed,
level premium
What type of life insurance incorporates flexible premiums and an adjustable
death benefit? - Correct Answer-Universal Life
T would like to be assured $10,000 is available in 10 years to replace a roof on his
house. What kind of $10,000 policy should T purchase? - Correct Answer-Ten-Year
Endowment
What type of life policy covers 2 lives and pays the face amount after the first one
dies? - Correct Answer-Joint Life Policy
Life insurance that covers an insured's whole life with level premiums paid over a
limited time is called - Correct Answer-Limited-Pay Life
What kind of life insurance product covers children under their parent's policy? -
Correct Answer-Term rider
Which is true concerning a Variable Universal Life policy?
Policyowner controls where the investment will go and selects the amount of the
premium payment
Policyowner has no say where the investment will go but can choose the
premium mode
The investment vehicle for this type of policy is held in the insurer's general
portfolio
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, Texas Life and Health Insurance Exam
The death benefit can vary but the policyowner has no say in the premium
amount paid - Correct Answer-Policyowner controls where the investment will go
and selects the amount of the premium payment
P is looking to purchase a life insurance policy that will pay a stated monthly
income to his beneficiaries for 20 years after he dies and a lump sum of $20,000 at
the end of that 20 year period. What type of policy should P purchase? - Correct
Answer-Family Maintenance policy
Which of the following statements about a Variable Whole Life policy is CORRECT?
It provides a minimum guaranteed Death benefit
It is a combination of a Limited Period Endowment and a Decreasing Term policy
Its premiums and benefits are variable
It has a guaranteed rate of return - Correct Answer-It provides a minimum
guaranteed Death benefit
Credit Life insurance is - Correct Answer-issued in an amount not to exceed the
amount of the loan
The amount of coverage on a group credit life policy is limited to - Correct Answer-
the insured's total loan value
Term insurance has which of the following characteristics? - Correct Answer-
Expires at the end of the policy period
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, Texas Life and Health Insurance Exam
What does a Face Amount Plus Cash Value Policy supposed to pay at the insured's
death? - Correct Answer-Face amount plus the policy's cash value
A life policy with a death benefit that can fluctuate according to the performance
of its underlying investment portfolio is referred to as - Correct Answer-Variable
Life
K buys a policy where the premium stays fixed for the first 5 years. The premium
then increases in year 6 and stays level thereafter, all the while the death benefit
remains the same. What kind of policy is this? - Correct Answer-Modified Whole
Life
Which of these life products is NOT considered interest-sensitive? - Correct
Answer-Modified Whole Life
What type of life policy covers two people and pays upon the death of the last
insured? - Correct Answer-Survivorship
Which is true concerning a Variable Universal Life policy? - Correct Answer-
Policyowner controls where the investment will go and selects the amount of the
premium payment
T has a term policy that allows him to continue the coverage after expiration of
the initial policy period. What type of term coverage is this? - Correct Answer-
Renewable
4|Page
TEXAS LIFE AND HEALTH INSURANCE EXAM NEWEST ACTUAL
EXAM COMPLETE 150 QUESTIONS AND CORRECT DETAILED
ANSWERS (VERIFIED ANSWERS) |ALREADY GRADED A+||BRAND
NEW VERSION!!
Which of the following actions require a policy owner to provide proof of
insurability in an Adjustable Life policy? - Correct Answer-increase face amount
When a policy owner exchanges a term policy for a whole life policy without
providing proof of good health, which of these apply? - Correct Answer-
Conversion provision
What type of life insurance are credit policies issued as? - Correct Answer-Term
How long does the coverage normally remain on a limited-pay life policy? -
Correct Answer-age 100
All of these statements about Equity Indexed Life Insurance are correct EXCEPT
Cash value has a minimum rate of accumulation
If the gain on the index goes beyond the policy's minimum rate of return, the
cash value will mirror that of the index
The premiums can be lowered or raised, based on investment performance
Tied to an equity index such as the S&P 500 - Correct Answer-The premiums can
be lowered or raised, based on investment performance
1|Page
, Texas Life and Health Insurance Exam
Which of these is an element of a Variable Life policy? - Correct Answer-A fixed,
level premium
What type of life insurance incorporates flexible premiums and an adjustable
death benefit? - Correct Answer-Universal Life
T would like to be assured $10,000 is available in 10 years to replace a roof on his
house. What kind of $10,000 policy should T purchase? - Correct Answer-Ten-Year
Endowment
What type of life policy covers 2 lives and pays the face amount after the first one
dies? - Correct Answer-Joint Life Policy
Life insurance that covers an insured's whole life with level premiums paid over a
limited time is called - Correct Answer-Limited-Pay Life
What kind of life insurance product covers children under their parent's policy? -
Correct Answer-Term rider
Which is true concerning a Variable Universal Life policy?
Policyowner controls where the investment will go and selects the amount of the
premium payment
Policyowner has no say where the investment will go but can choose the
premium mode
The investment vehicle for this type of policy is held in the insurer's general
portfolio
2|Page
, Texas Life and Health Insurance Exam
The death benefit can vary but the policyowner has no say in the premium
amount paid - Correct Answer-Policyowner controls where the investment will go
and selects the amount of the premium payment
P is looking to purchase a life insurance policy that will pay a stated monthly
income to his beneficiaries for 20 years after he dies and a lump sum of $20,000 at
the end of that 20 year period. What type of policy should P purchase? - Correct
Answer-Family Maintenance policy
Which of the following statements about a Variable Whole Life policy is CORRECT?
It provides a minimum guaranteed Death benefit
It is a combination of a Limited Period Endowment and a Decreasing Term policy
Its premiums and benefits are variable
It has a guaranteed rate of return - Correct Answer-It provides a minimum
guaranteed Death benefit
Credit Life insurance is - Correct Answer-issued in an amount not to exceed the
amount of the loan
The amount of coverage on a group credit life policy is limited to - Correct Answer-
the insured's total loan value
Term insurance has which of the following characteristics? - Correct Answer-
Expires at the end of the policy period
3|Page
, Texas Life and Health Insurance Exam
What does a Face Amount Plus Cash Value Policy supposed to pay at the insured's
death? - Correct Answer-Face amount plus the policy's cash value
A life policy with a death benefit that can fluctuate according to the performance
of its underlying investment portfolio is referred to as - Correct Answer-Variable
Life
K buys a policy where the premium stays fixed for the first 5 years. The premium
then increases in year 6 and stays level thereafter, all the while the death benefit
remains the same. What kind of policy is this? - Correct Answer-Modified Whole
Life
Which of these life products is NOT considered interest-sensitive? - Correct
Answer-Modified Whole Life
What type of life policy covers two people and pays upon the death of the last
insured? - Correct Answer-Survivorship
Which is true concerning a Variable Universal Life policy? - Correct Answer-
Policyowner controls where the investment will go and selects the amount of the
premium payment
T has a term policy that allows him to continue the coverage after expiration of
the initial policy period. What type of term coverage is this? - Correct Answer-
Renewable
4|Page
