CA Life Insurance Exam || Most Recent Exam 2026-2027
Actual Complete Real Exam Questions And Correct
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An insured replaces an exciting annuity with a new one and
must pay a surrender charge for cancelling the existing
annuity. The new policy holds no greater financial benefits to
the insured than the existing contract. This is an example of -
ANSWER -an unnecessary replacement.
A group life policy is issued on a contributory basis. This
means that the -
ANSWER -insured employees will pay part of
the premium.
What is the penalty tax imposed on amounts received
from a modified
endowment contract? -
ANSWER -10%
A participating life insurance policy is defined as a contract
that - ANSWER -
,allows the policyowner to receive a share of surplus in the
form of policy
dividends.
All of the following are contained in a mortality table
EXCEPT - ANSWER -
number living at the end of
designated year.
Which policy pays the face amount if the insured survives to the
end of a certain
period? - ANSWER -Endowment
insurance.
A husband and wife have a disabled child who is financially
dependent upon
them. The death of one parent would not result in financial
disaster for the
disabled child, but the death of both parents would. Which
policy should they
purchase? - ANSWER -Second-to-
die policy.
How can partners guarantee a market for their share of the
business in the
event of death? - ANSWER -Buy-sell
agreements.
,Which policy covering two or more individuals terminates after
paying benefits
on the first to die? - ANSWER -Joint
life policy.
The accidental benefit rider is also known as - ANSWER -double
indemnity.
The use of non-medical life insurance accomplishes all of the
following EXCEPT - ANSWER -insureds can avoid answering
medical questions on the application.
Who MUST sign a statement acknowledging that a life
insurance policy
illustration was given to an applicant? - ANSWER -The applicant
and the agent.
In financial planning, the human life value concept is based on
an individual's -
ANSWER -
income
When does an individual have an insurable interest in the life of
another person? - ANSWER -The individuals depends on the
other person for financial support.
The cost of employer-provided group life insurance
above $50,000 is -
, ANSWER -taxable as income to the
employee.
If a term life insurance policy is renewable, the renewal
provision usually states
that: - ANSWER -a higher premium is payable at
each renewal.
Life insurers must include all of the following in their
financial statements
EXCEPT - ANSWER -policy summary
description.
Common life insurance policy riders include all of the
following EXCEPT -
ANSWER -extended
term.
In a group life insurance policy, who are the parties to the
master contract? -
ANSWER -The insurer and the
employer.
Which statement is TRUE regarding employer contributions to
qualified plans? -
ANSWER -They are tax deductible by the
employer.
Which of the following statements about policy dividends is
TRUE? - ANSWER
Actual Complete Real Exam Questions And Correct
Answers (Verified Answers) Already Graded A+ |
Guaranteed Success | Newest Exam| Just
Released!!
An insured replaces an exciting annuity with a new one and
must pay a surrender charge for cancelling the existing
annuity. The new policy holds no greater financial benefits to
the insured than the existing contract. This is an example of -
ANSWER -an unnecessary replacement.
A group life policy is issued on a contributory basis. This
means that the -
ANSWER -insured employees will pay part of
the premium.
What is the penalty tax imposed on amounts received
from a modified
endowment contract? -
ANSWER -10%
A participating life insurance policy is defined as a contract
that - ANSWER -
,allows the policyowner to receive a share of surplus in the
form of policy
dividends.
All of the following are contained in a mortality table
EXCEPT - ANSWER -
number living at the end of
designated year.
Which policy pays the face amount if the insured survives to the
end of a certain
period? - ANSWER -Endowment
insurance.
A husband and wife have a disabled child who is financially
dependent upon
them. The death of one parent would not result in financial
disaster for the
disabled child, but the death of both parents would. Which
policy should they
purchase? - ANSWER -Second-to-
die policy.
How can partners guarantee a market for their share of the
business in the
event of death? - ANSWER -Buy-sell
agreements.
,Which policy covering two or more individuals terminates after
paying benefits
on the first to die? - ANSWER -Joint
life policy.
The accidental benefit rider is also known as - ANSWER -double
indemnity.
The use of non-medical life insurance accomplishes all of the
following EXCEPT - ANSWER -insureds can avoid answering
medical questions on the application.
Who MUST sign a statement acknowledging that a life
insurance policy
illustration was given to an applicant? - ANSWER -The applicant
and the agent.
In financial planning, the human life value concept is based on
an individual's -
ANSWER -
income
When does an individual have an insurable interest in the life of
another person? - ANSWER -The individuals depends on the
other person for financial support.
The cost of employer-provided group life insurance
above $50,000 is -
, ANSWER -taxable as income to the
employee.
If a term life insurance policy is renewable, the renewal
provision usually states
that: - ANSWER -a higher premium is payable at
each renewal.
Life insurers must include all of the following in their
financial statements
EXCEPT - ANSWER -policy summary
description.
Common life insurance policy riders include all of the
following EXCEPT -
ANSWER -extended
term.
In a group life insurance policy, who are the parties to the
master contract? -
ANSWER -The insurer and the
employer.
Which statement is TRUE regarding employer contributions to
qualified plans? -
ANSWER -They are tax deductible by the
employer.
Which of the following statements about policy dividends is
TRUE? - ANSWER
