Texas Funeral Prearrangement Life Insurance License |
Most Tested Topics | Graded A+
1. A rider affects insurance coverage in which of the following manners?
It establishes the legal purpose of the contract.
The basic contract will be altered in some manner.
It places the coverage into effect at the moment of application without
condition.
The underwriting process will be waived on the application.
2. Describe the implications of the vesting period on the death benefit of a
deferred whole life policy.
The death benefit can be claimed at any time during the vesting
period.
The death benefit is not accessible until the policyholder has
completed the vesting period.
The death benefit increases in value during the vesting period.
The death benefit is reduced if the policyholder stops paying
premiums.
3. Which regulatory body is responsible for approving prepaid funeral contracts
in Texas?
The Texas Funeral Service Commission
The Texas Department of Banking
The Texas Department of Insurance
The Federal Trade Commission
,4. Under the Do Not Call Registry, telephone solicitation calls before ____ or
after _____ are prohibited.
10am / 7pm
8am / 9pm
7am / 10pm
9am / 8pm
5. If an applicant's agent fails to provide the required written statement during
the application process, what potential consequence might the applicant
face?
Loss of the insurance policy
Delay in the approval of the insurance application
Immediate approval of the insurance application
Increased insurance premiums
6. Which one of the following describes the relationship between the contract
owner of an annuity and the annuitant?
They can be the same party, but rarely are so.
They usually are the same party.
They must be different parties because of state insurance laws.
They must be one and the same because of state insurance laws.
7. If a purchaser of a funeral contract decides to convert their trust to an
insurance funded conversion, what action can they take if they are dissatisfied
with the services offered?
Negotiate a lower price for the services
, Request a full refund of their account without penalty
Request additional services at no extra cost
Change the funeral home without any fees
8. What is one requirement for obtaining a Funeral Prearrangement Life
Insurance License in Texas?
Completion of a pre-licensing education course
Being a resident of Texas for at least five years
Passing a background check
Having a college degree in funeral services
9. If a policyholder decides to withdraw funds from a deferred annuity after five
years, what is likely to be true about the surrender charges at that point?
The surrender charges will have decreased significantly and may be
close to disappearing.
The surrender charges will have increased since the beginning of the
contract.
The surrender charges will be waived entirely due to the
policyholder's age.
The surrender charges will remain the same as when the contract
started.
10. The act of an agent collecting a premium from an insured would be an
example of:
Apparent authority
Implied authority
Expressed authority
, Lingering implied authority
11. What is the title of the brochure that must be provided to consumers when
discussing funeral services?
Funeral Service Guide
General Price List
Preneed Contract Overview
Consumer Rights Handbook
12. If a consumer wishes to prearrange their funeral but does not submit the
application for insurance at the same time as the prepaid contract, what
potential issues could arise?
Delayed processing of the funeral services
Lack of insurance coverage for the prepaid services
Immediate payment of the full funeral cost
Increased pricing for the funeral services
13. Tracey is paying money into an annuity she hopes will support her in her
retirement years. Her contract currently is in which of the following periods?
Annuity period
Nonforfeiture period
Accumulation period
Payout period
14. Describe the key difference between an immediate annuity and a deferred
annuity.
Most Tested Topics | Graded A+
1. A rider affects insurance coverage in which of the following manners?
It establishes the legal purpose of the contract.
The basic contract will be altered in some manner.
It places the coverage into effect at the moment of application without
condition.
The underwriting process will be waived on the application.
2. Describe the implications of the vesting period on the death benefit of a
deferred whole life policy.
The death benefit can be claimed at any time during the vesting
period.
The death benefit is not accessible until the policyholder has
completed the vesting period.
The death benefit increases in value during the vesting period.
The death benefit is reduced if the policyholder stops paying
premiums.
3. Which regulatory body is responsible for approving prepaid funeral contracts
in Texas?
The Texas Funeral Service Commission
The Texas Department of Banking
The Texas Department of Insurance
The Federal Trade Commission
,4. Under the Do Not Call Registry, telephone solicitation calls before ____ or
after _____ are prohibited.
10am / 7pm
8am / 9pm
7am / 10pm
9am / 8pm
5. If an applicant's agent fails to provide the required written statement during
the application process, what potential consequence might the applicant
face?
Loss of the insurance policy
Delay in the approval of the insurance application
Immediate approval of the insurance application
Increased insurance premiums
6. Which one of the following describes the relationship between the contract
owner of an annuity and the annuitant?
They can be the same party, but rarely are so.
They usually are the same party.
They must be different parties because of state insurance laws.
They must be one and the same because of state insurance laws.
7. If a purchaser of a funeral contract decides to convert their trust to an
insurance funded conversion, what action can they take if they are dissatisfied
with the services offered?
Negotiate a lower price for the services
, Request a full refund of their account without penalty
Request additional services at no extra cost
Change the funeral home without any fees
8. What is one requirement for obtaining a Funeral Prearrangement Life
Insurance License in Texas?
Completion of a pre-licensing education course
Being a resident of Texas for at least five years
Passing a background check
Having a college degree in funeral services
9. If a policyholder decides to withdraw funds from a deferred annuity after five
years, what is likely to be true about the surrender charges at that point?
The surrender charges will have decreased significantly and may be
close to disappearing.
The surrender charges will have increased since the beginning of the
contract.
The surrender charges will be waived entirely due to the
policyholder's age.
The surrender charges will remain the same as when the contract
started.
10. The act of an agent collecting a premium from an insured would be an
example of:
Apparent authority
Implied authority
Expressed authority
, Lingering implied authority
11. What is the title of the brochure that must be provided to consumers when
discussing funeral services?
Funeral Service Guide
General Price List
Preneed Contract Overview
Consumer Rights Handbook
12. If a consumer wishes to prearrange their funeral but does not submit the
application for insurance at the same time as the prepaid contract, what
potential issues could arise?
Delayed processing of the funeral services
Lack of insurance coverage for the prepaid services
Immediate payment of the full funeral cost
Increased pricing for the funeral services
13. Tracey is paying money into an annuity she hopes will support her in her
retirement years. Her contract currently is in which of the following periods?
Annuity period
Nonforfeiture period
Accumulation period
Payout period
14. Describe the key difference between an immediate annuity and a deferred
annuity.
