WEBCE Exam 2026 with all Correct & 100% Verified
Answers |Actual Complete Update |Already Graded A+
In general, what is the earliest age at which a person can take a distribution from a qualified
plan without a tax penalty? ✔Correct Answer-59 1/2
Carol was 35 when she bought her deferred annuity. Now, at age 38, she wants to withdraw
funds from the contract to take a vacation. Carol is likely to encounter all of the following
consequences in making the withdrawal EXCEPT: ✔Correct Answer-statutory minimum
withholding requirements
What kind of misrepresentation on an insurance application gives the insurer reason to
terminate a policy? ✔Correct Answer-material fact
Which of the following riders attached to Debra's life insurance policy provides for a monthly
income to be paid if she becomes disabled? ✔Correct Answer-disability income benefit rider
In calculating their life insurance premiums, which of the following statements generally guides
insurance companies in determining the "loading" factor? ✔Correct Answer-Total loading
from all policies should cover total operating costs, provide a safety margin, and contribute to
profits or surplus.
What is the main difference between ordinary whole life and limited payment whole life
insurance? ✔Correct Answer-the length of time that the insured must pay premiums
Abby lives in New Mexico, where she is licensed as an insurance agent and wants to apply for a
nonresident license in Arizona. She holds a current license in good standing in New Mexico.
When applying for a license in Arizona, Abby must prove her citizenship by submitting:
✔Correct Answer-a valid driver's license
Matt takes out a life insurance policy on himself to protect his family. Matt's insurance company
may consider all of the following when underwriting his policy EXCEPT: ✔Correct Answer-his
race
Under which of the following do the cash values and death benefits rise and fall on the basis of
the policy's subaccount investment performance, and for which the insurer does not guarantee
a rate of return on the cash value invested? ✔Correct Answer-variable life
To help determine how much life insurance a prospect needs, agent Smith uses the human life
value approach which is essentially based on an estimate of the prospect's: ✔Correct Answer-
net future earnings discounted to a present value
, Which one of the following statements about Multiple Employer Welfare Arrangements
(MEWAs) is most correct? ✔Correct Answer-They are usually created by employers in the
same industry.
Which of the following best describes income payments under the period certain payout
option? ✔Correct Answer-the longer the payout period, the smaller the amount of each
monthly payment
Delta Co. buys a group life insurance policy for its employees. As the plan sponsor, what will
Delta receive? ✔Correct Answer-a policy
Margie owns a fixed life insurance policy. What type of death benefit is Margie guaranteed?
✔Correct Answer-The policy guarantees a fixed amount.
What is the minimum grace period required for payment on an annuity? ✔Correct Answer-30
days
Which one of the following has more than "an expectancy" that he or she will receive the death
benefit under a life insurance policy? ✔Correct Answer-an irrevocable beneficiary
An agent for ABC Insurance Company meets with a client. The agent shows the client ABC's
sample policies, refers to the ABC rate book, and gives the client an ABC business card. The
client assumes that ABC has appointed the agent to represent it. What kind of authority does
the agent have? ✔Correct Answer-apparent authority
Which statement about variable annuity subaccounts is NOT correct? ✔Correct Answer-The
insurer selects the variable subaccounts to which the contract owner's premiums are allocated.
Stephanie is hired by ABC Insurance Company's home office. She does not have an insurance
producer's license. Which of the following duties may she perform for ABC? ✔Correct
Answer-mail company correspondence for the president
The life insurance nonforfeiture option that results in the permanent continuation of cash value
life insurance with no further premiums is called the: ✔Correct Answer-reduced paid-up
option
A life insurance policy may accelerate payment of the death benefit for any of the following
reasons EXCEPT: ✔Correct Answer-partial, temporary disability
The formal name for what is commonly called a 'double indemnity' rider is: ✔Correct Answer-
accidental death benefit rider
Answers |Actual Complete Update |Already Graded A+
In general, what is the earliest age at which a person can take a distribution from a qualified
plan without a tax penalty? ✔Correct Answer-59 1/2
Carol was 35 when she bought her deferred annuity. Now, at age 38, she wants to withdraw
funds from the contract to take a vacation. Carol is likely to encounter all of the following
consequences in making the withdrawal EXCEPT: ✔Correct Answer-statutory minimum
withholding requirements
What kind of misrepresentation on an insurance application gives the insurer reason to
terminate a policy? ✔Correct Answer-material fact
Which of the following riders attached to Debra's life insurance policy provides for a monthly
income to be paid if she becomes disabled? ✔Correct Answer-disability income benefit rider
In calculating their life insurance premiums, which of the following statements generally guides
insurance companies in determining the "loading" factor? ✔Correct Answer-Total loading
from all policies should cover total operating costs, provide a safety margin, and contribute to
profits or surplus.
What is the main difference between ordinary whole life and limited payment whole life
insurance? ✔Correct Answer-the length of time that the insured must pay premiums
Abby lives in New Mexico, where she is licensed as an insurance agent and wants to apply for a
nonresident license in Arizona. She holds a current license in good standing in New Mexico.
When applying for a license in Arizona, Abby must prove her citizenship by submitting:
✔Correct Answer-a valid driver's license
Matt takes out a life insurance policy on himself to protect his family. Matt's insurance company
may consider all of the following when underwriting his policy EXCEPT: ✔Correct Answer-his
race
Under which of the following do the cash values and death benefits rise and fall on the basis of
the policy's subaccount investment performance, and for which the insurer does not guarantee
a rate of return on the cash value invested? ✔Correct Answer-variable life
To help determine how much life insurance a prospect needs, agent Smith uses the human life
value approach which is essentially based on an estimate of the prospect's: ✔Correct Answer-
net future earnings discounted to a present value
, Which one of the following statements about Multiple Employer Welfare Arrangements
(MEWAs) is most correct? ✔Correct Answer-They are usually created by employers in the
same industry.
Which of the following best describes income payments under the period certain payout
option? ✔Correct Answer-the longer the payout period, the smaller the amount of each
monthly payment
Delta Co. buys a group life insurance policy for its employees. As the plan sponsor, what will
Delta receive? ✔Correct Answer-a policy
Margie owns a fixed life insurance policy. What type of death benefit is Margie guaranteed?
✔Correct Answer-The policy guarantees a fixed amount.
What is the minimum grace period required for payment on an annuity? ✔Correct Answer-30
days
Which one of the following has more than "an expectancy" that he or she will receive the death
benefit under a life insurance policy? ✔Correct Answer-an irrevocable beneficiary
An agent for ABC Insurance Company meets with a client. The agent shows the client ABC's
sample policies, refers to the ABC rate book, and gives the client an ABC business card. The
client assumes that ABC has appointed the agent to represent it. What kind of authority does
the agent have? ✔Correct Answer-apparent authority
Which statement about variable annuity subaccounts is NOT correct? ✔Correct Answer-The
insurer selects the variable subaccounts to which the contract owner's premiums are allocated.
Stephanie is hired by ABC Insurance Company's home office. She does not have an insurance
producer's license. Which of the following duties may she perform for ABC? ✔Correct
Answer-mail company correspondence for the president
The life insurance nonforfeiture option that results in the permanent continuation of cash value
life insurance with no further premiums is called the: ✔Correct Answer-reduced paid-up
option
A life insurance policy may accelerate payment of the death benefit for any of the following
reasons EXCEPT: ✔Correct Answer-partial, temporary disability
The formal name for what is commonly called a 'double indemnity' rider is: ✔Correct Answer-
accidental death benefit rider
