LIFE INSURANCE AND HEALTH INSURANCE ACTUAL EXAM LATEST 2025 WITH QUESTIONS
AND CORRECT VERIFIED ANSWERS GRADED A+ GUARANTEED PASS[ BRAND NEW!!!!!!
Section 529 Plans - (answer)- state provided
- can be funded by after tax dollars
- can pay prepaid tuition
- All earnings exempt from federal taxes
- If withdrawn for unqualified withdrawl, 10% penalty
Roth IRA - (answer)private retirement plan that taxes income before it is saved, but which does not tax
interest on that income when funds are used upon retirement
Distributions don't have to start before 70.5
401(k) plan - (answer)Elective deferral plan that allows employee to reduce compensation by a stated
percentage on a tax deductible/ tax differed basis; often the employer matches the employee
contributions
Simplified Employee Pension (SEP) - (answer)A qualified plan in which a smaller employer contributes
specified amounts directly into IRA accounts on behalf of eligible employees
403(b) plan - (answer)An elective deferral plan for employees of organizations such as school systems,
churches, and hospitals
Keogh Plan - (answer)Retirement plan for self-employed individual and their qualified employees
Rollover - (answer)Tax free withdrawal of cash or other assets from one retirement program and its
reinvestment in another program. It is not considered income and it is not taxable until a later
withdrawal. Has to be completed in 60 days
Transfer - (answer)When amounts of a qualified plan are transferred to another qualified plan
, LIFE INSURANCE AND HEALTH INSURANCE ACTUAL EXAM LATEST 2025 WITH QUESTIONS
AND CORRECT VERIFIED ANSWERS GRADED A+ GUARANTEED PASS[ BRAND NEW!!!!!!
Employee Retirement Income Security Act (ERISA) - (answer)Federal law that increased the
responsibility of pension plan trustees to protect retirees, established certain rights related to vesting
and portability, and created the Pension Benefit Guarantee Corporation
profit-sharing plan - (answer)a benefit whereby employees may share in the profits of the business
Catch-up Contributions - (answer)-for those aged 50 or older
-additional $1,000 annually
**Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA) - established the catch up
provisions**
Rollover time frame - (answer)60 days
Keogh Plan - (answer)A federally-approved, tax-deferred savings program for self-employed people,
allowing them to set money aside for their retirement.
Annuity Period - (answer)the payout period of an annuity
Flexible Premium Annuity - (answer)allows the owner to vary the premium payments
Deferred Annuity - (answer)An annuity that starts sometime in the future.
Variable Annuity - (answer)Annuity that has a varying rate of return based on the mutual funds in which
one has invested
Gramm-Leach-Bliley Act - (answer)requires financial institutions to ensure the security and
confidentiality of customer data
, LIFE INSURANCE AND HEALTH INSURANCE ACTUAL EXAM LATEST 2025 WITH QUESTIONS
AND CORRECT VERIFIED ANSWERS GRADED A+ GUARANTEED PASS[ BRAND NEW!!!!!!
Certificate of Insurance (COI) - (answer)proof that the insured has insurance
Market conduct - (answer)refers to the marketing practices of insurers and agents that involve
interaction with insureds, claimants, or consumers
expense loading - (answer)the amount needed to pay all expenses, including commissions, general
administrative expenses, state premium taxes, acquisition expenses, and an allowance for contingencies
and profit
Straight Life Annuity - (answer)The payout option that will guarantee an annuity payment for the
remainder of an individual's life. This option typically provides the largest monthly payment.
Refund Life Annuity - (answer)Provides annuity payments for the annuitant's lifetime with the guarantee
that in no event will total income be less than the purchase price of the contract. If the annuitant dies
before receiving this amount, the difference is paid to a named beneficiary either as a cash refund or in
installments.
convertible term policy - (answer)
Aleatory Contract - (answer)a contract where the values exchanged may not be equal but depend on an
uncertain event
Insurance Dividends - (answer)Considered to be a return of overpaid premiums and is not taxable. You
can get the dividend in the form of CRAPPO
- Cash
- reduction of premium
- allow the dividends to accumulate at interest (the money earned on the returned dividend is taxable as
ordinary income
, LIFE INSURANCE AND HEALTH INSURANCE ACTUAL EXAM LATEST 2025 WITH QUESTIONS
AND CORRECT VERIFIED ANSWERS GRADED A+ GUARANTEED PASS[ BRAND NEW!!!!!!
- Paid up permament addition - you can purchase additional whole life policy and the price will change
depending on dividend and age
-paid up option - pay up policy earlier than expected
- one year term - use dividends to purchase additional term insurance for 1 year (after 1 year, the term
expires)
insurance benefit - (answer)Advantage, privilege, right, or financial reimbursement
Insurance Considerations - (answer)The easiest way to protect yourself and your organization from the
legal liability and financial loss associated with environmental safety risks is through insurance. Coverage
by insurance allows the facility to transfer the potentially devastating financial risk of a future loss for
the cost certainty of a monthly or yearly payment (i.e., premium).
Adverse Selection - (answer)A high-risk person benefits more from insurance, so is more likely to
purchase it.
qualified retirement plan - (answer)A retirement savings plan approved by the Internal Revenue Service
that provides individuals with a tax benefit
Unilateral Contract - (answer)promise in exchange for an act
Elements of a Contract - (answer)offer, acceptance, consideration
Section 1035 (Policy Exchanges) - (answer)Due to the fact that life insurance, annuities and endowments
are all similar in nature (though they have their differences), the IRS, under certain circumstances,
allows for the exchange of one policy for another without taxation to the individual, as long as funds are
not distributed to the individual in the process.
limited pay life insurance - (answer)A form of whole life insurance characterized by premium payments
only being made for a specified or limited number of years.
AND CORRECT VERIFIED ANSWERS GRADED A+ GUARANTEED PASS[ BRAND NEW!!!!!!
Section 529 Plans - (answer)- state provided
- can be funded by after tax dollars
- can pay prepaid tuition
- All earnings exempt from federal taxes
- If withdrawn for unqualified withdrawl, 10% penalty
Roth IRA - (answer)private retirement plan that taxes income before it is saved, but which does not tax
interest on that income when funds are used upon retirement
Distributions don't have to start before 70.5
401(k) plan - (answer)Elective deferral plan that allows employee to reduce compensation by a stated
percentage on a tax deductible/ tax differed basis; often the employer matches the employee
contributions
Simplified Employee Pension (SEP) - (answer)A qualified plan in which a smaller employer contributes
specified amounts directly into IRA accounts on behalf of eligible employees
403(b) plan - (answer)An elective deferral plan for employees of organizations such as school systems,
churches, and hospitals
Keogh Plan - (answer)Retirement plan for self-employed individual and their qualified employees
Rollover - (answer)Tax free withdrawal of cash or other assets from one retirement program and its
reinvestment in another program. It is not considered income and it is not taxable until a later
withdrawal. Has to be completed in 60 days
Transfer - (answer)When amounts of a qualified plan are transferred to another qualified plan
, LIFE INSURANCE AND HEALTH INSURANCE ACTUAL EXAM LATEST 2025 WITH QUESTIONS
AND CORRECT VERIFIED ANSWERS GRADED A+ GUARANTEED PASS[ BRAND NEW!!!!!!
Employee Retirement Income Security Act (ERISA) - (answer)Federal law that increased the
responsibility of pension plan trustees to protect retirees, established certain rights related to vesting
and portability, and created the Pension Benefit Guarantee Corporation
profit-sharing plan - (answer)a benefit whereby employees may share in the profits of the business
Catch-up Contributions - (answer)-for those aged 50 or older
-additional $1,000 annually
**Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA) - established the catch up
provisions**
Rollover time frame - (answer)60 days
Keogh Plan - (answer)A federally-approved, tax-deferred savings program for self-employed people,
allowing them to set money aside for their retirement.
Annuity Period - (answer)the payout period of an annuity
Flexible Premium Annuity - (answer)allows the owner to vary the premium payments
Deferred Annuity - (answer)An annuity that starts sometime in the future.
Variable Annuity - (answer)Annuity that has a varying rate of return based on the mutual funds in which
one has invested
Gramm-Leach-Bliley Act - (answer)requires financial institutions to ensure the security and
confidentiality of customer data
, LIFE INSURANCE AND HEALTH INSURANCE ACTUAL EXAM LATEST 2025 WITH QUESTIONS
AND CORRECT VERIFIED ANSWERS GRADED A+ GUARANTEED PASS[ BRAND NEW!!!!!!
Certificate of Insurance (COI) - (answer)proof that the insured has insurance
Market conduct - (answer)refers to the marketing practices of insurers and agents that involve
interaction with insureds, claimants, or consumers
expense loading - (answer)the amount needed to pay all expenses, including commissions, general
administrative expenses, state premium taxes, acquisition expenses, and an allowance for contingencies
and profit
Straight Life Annuity - (answer)The payout option that will guarantee an annuity payment for the
remainder of an individual's life. This option typically provides the largest monthly payment.
Refund Life Annuity - (answer)Provides annuity payments for the annuitant's lifetime with the guarantee
that in no event will total income be less than the purchase price of the contract. If the annuitant dies
before receiving this amount, the difference is paid to a named beneficiary either as a cash refund or in
installments.
convertible term policy - (answer)
Aleatory Contract - (answer)a contract where the values exchanged may not be equal but depend on an
uncertain event
Insurance Dividends - (answer)Considered to be a return of overpaid premiums and is not taxable. You
can get the dividend in the form of CRAPPO
- Cash
- reduction of premium
- allow the dividends to accumulate at interest (the money earned on the returned dividend is taxable as
ordinary income
, LIFE INSURANCE AND HEALTH INSURANCE ACTUAL EXAM LATEST 2025 WITH QUESTIONS
AND CORRECT VERIFIED ANSWERS GRADED A+ GUARANTEED PASS[ BRAND NEW!!!!!!
- Paid up permament addition - you can purchase additional whole life policy and the price will change
depending on dividend and age
-paid up option - pay up policy earlier than expected
- one year term - use dividends to purchase additional term insurance for 1 year (after 1 year, the term
expires)
insurance benefit - (answer)Advantage, privilege, right, or financial reimbursement
Insurance Considerations - (answer)The easiest way to protect yourself and your organization from the
legal liability and financial loss associated with environmental safety risks is through insurance. Coverage
by insurance allows the facility to transfer the potentially devastating financial risk of a future loss for
the cost certainty of a monthly or yearly payment (i.e., premium).
Adverse Selection - (answer)A high-risk person benefits more from insurance, so is more likely to
purchase it.
qualified retirement plan - (answer)A retirement savings plan approved by the Internal Revenue Service
that provides individuals with a tax benefit
Unilateral Contract - (answer)promise in exchange for an act
Elements of a Contract - (answer)offer, acceptance, consideration
Section 1035 (Policy Exchanges) - (answer)Due to the fact that life insurance, annuities and endowments
are all similar in nature (though they have their differences), the IRS, under certain circumstances,
allows for the exchange of one policy for another without taxation to the individual, as long as funds are
not distributed to the individual in the process.
limited pay life insurance - (answer)A form of whole life insurance characterized by premium payments
only being made for a specified or limited number of years.
