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XCEL VIRGINIA-LIFE & HEALTH EXAM SIMULATOR
2026/2027 QUESTIONS WITH DETAILED VERIFIED ANSWERS
/ EXAM QUESTIONS AND VERIFIED ANSWERS |ALREADY
GRADED A+|
With life insurance, the needs approach is used primarily in
determining - ANSWER-how much life insurance a client should
apply for
which of these is not an unfair claims settlement practice -
ANSWER-refusing to pay persons bringing false or fraudulent
claims
all of these statements correctly describe an aleatory contract
except - ANSWER-only one party makes any kind of legally
enforceable offer
insurable interest involves what assumption - ANSWER-One
person benefits from another person's continued life
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The premiums paid by an employer for his employee's group life
insurance are usually considered to be - ANSWER-tax-deductible
to the employer
How do benefit payments fluctuate over time in a variable life
annuity?
Benefit payments stay fixed
Reflects changes in the market value of assets in a separate
account
Annuitant controls any benefit payment changes
Any benefit payment fluctuations have to be approved in writing
by the owner - ANSWER-reflects changes in the market value of
assets in a separate account
which of these is not an advantage of term life insurance -
ANSWER-a cash benefit will be provided if the insured is alive at
the end of the policy period
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what are premiums for group life insurance based on - ANSWER-
flat rate unrelated to the borrower’s age
a terminally ill policyowner decides to sell his life insurance policy
at a discount to help support his family. This sale is called -
ANSWER-viatical settlement
which of the following is a true statement regarding universal life
insurance - ANSWER-policy states how much of each premium is
used toward company expenses
What would be the disadvantage of naming a trust as beneficiary
of a life insurance policy? - ANSWER-true administration fees
would reduce policy proceeds
the policy provision that permits an employee to change from
group life coverage to an individual life policy is called the -
ANSWER-conversion provision
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XYA Corp has implemented a qualified retirement plan. This plan
may not discriminate - ANSWER-in favor of highly compensated
employees
which of the following would not be appropriate for an immediate
annuity - ANSWER-a parent saving for a child's college
the automatic premium loan provision can be accurately
described as a - ANSWER-provision that provides a policy loan to
pay any premiums by the end of the grace period
Greg applies for insurance and makes a false statement on the
application that will influence whether or not the insurer will accept
the risk. Greg's false statement is called a(n) - ANSWER-material
misrepresentation
John has a criminal record in which he was convicted of a felony
that involved dishonesty. Under Federal law, how would John be
able to engage in insurance transactions? - ANSWER-given
written consent by the state insurance regulatory agency
XCEL VIRGINIA-LIFE & HEALTH EXAM SIMULATOR
2026/2027 QUESTIONS WITH DETAILED VERIFIED ANSWERS
/ EXAM QUESTIONS AND VERIFIED ANSWERS |ALREADY
GRADED A+|
With life insurance, the needs approach is used primarily in
determining - ANSWER-how much life insurance a client should
apply for
which of these is not an unfair claims settlement practice -
ANSWER-refusing to pay persons bringing false or fraudulent
claims
all of these statements correctly describe an aleatory contract
except - ANSWER-only one party makes any kind of legally
enforceable offer
insurable interest involves what assumption - ANSWER-One
person benefits from another person's continued life
, Page |2
The premiums paid by an employer for his employee's group life
insurance are usually considered to be - ANSWER-tax-deductible
to the employer
How do benefit payments fluctuate over time in a variable life
annuity?
Benefit payments stay fixed
Reflects changes in the market value of assets in a separate
account
Annuitant controls any benefit payment changes
Any benefit payment fluctuations have to be approved in writing
by the owner - ANSWER-reflects changes in the market value of
assets in a separate account
which of these is not an advantage of term life insurance -
ANSWER-a cash benefit will be provided if the insured is alive at
the end of the policy period
, Page |3
what are premiums for group life insurance based on - ANSWER-
flat rate unrelated to the borrower’s age
a terminally ill policyowner decides to sell his life insurance policy
at a discount to help support his family. This sale is called -
ANSWER-viatical settlement
which of the following is a true statement regarding universal life
insurance - ANSWER-policy states how much of each premium is
used toward company expenses
What would be the disadvantage of naming a trust as beneficiary
of a life insurance policy? - ANSWER-true administration fees
would reduce policy proceeds
the policy provision that permits an employee to change from
group life coverage to an individual life policy is called the -
ANSWER-conversion provision
, Page |4
XYA Corp has implemented a qualified retirement plan. This plan
may not discriminate - ANSWER-in favor of highly compensated
employees
which of the following would not be appropriate for an immediate
annuity - ANSWER-a parent saving for a child's college
the automatic premium loan provision can be accurately
described as a - ANSWER-provision that provides a policy loan to
pay any premiums by the end of the grace period
Greg applies for insurance and makes a false statement on the
application that will influence whether or not the insurer will accept
the risk. Greg's false statement is called a(n) - ANSWER-material
misrepresentation
John has a criminal record in which he was convicted of a felony
that involved dishonesty. Under Federal law, how would John be
able to engage in insurance transactions? - ANSWER-given
written consent by the state insurance regulatory agency
