Texas Funeral Prearrangement Life Insurance License Exam 2023

People that work in funeral service in Texas must hold what type of license to sell funeral or burial insurance? - Answer- "Limited" Funeral Prearrangement Life License or "Full" Texas Legal Reserve Life Agent license For the purpose of this training course, the following terms will be used interchangeably to refer to the same process: prepaid, prearrangement and - Answer- preneed Insurance products which may be used to fund funeral prearrangement contracts must be approved by the - Answer- Texas Department of Banking Which department is responsible for regulating any person performing the acts of an insurance agent? - Answer- The Texas Department of Insurance Name of brochure for prospective consumers when funeral services are discussed. - Answer- "Facts About Funerals" The insurance funding product which holds premium dollars at interest but does not provide a life insurance death benefit is an - Answer- annuity The federal regulatory agency which exercises authority over preneed contract sales is the - Answer- Texas Department of Banking The authorized representative who solicits preneed insurance, takes applications, receives or transmits premium and receives or delivers policies is the - Answer- agent The length of the contestable period for a preneed life insurance policy is - Answer- two years All of the following are true statements about the Texas Funeral Prearrangement Life Insurance Agents except - Answer- TEPLI agent may sell up to $10,000 of initial death benefit. (correct answer is $15,000) The TDI may suspend or revoke an agent's license for the conviction of a ______ or for _____ commissions to a client. - Answer- felony...rebating If an application is denied or revoked by TDI, how many months must the agent wait before reapplying? - Answer- 12 months When an agent's actions appear logical, although the power to perform them is neither expressed nor implied, it is called - Answer- apparent The agent's power to collect premiums is commonly referred to as - Answer- implied The agent's power to solicit insurance is granted in - Answer- the agent's contract with the insurer A funeral prearrangement life insurance agent in Texas has ____ days to report fraudulent, deceptive or discriminatory acts to the Texas Commissioner of Insurance. - Answer- 30 days Agent rebating is _______ away or _______ commissions with a buyer, applicant, or policy owner and is illegal in Texas. - Answer- giving...splitting A funeral prearrangement life insurance agent who knowingly presents false and misleading financial information about a competing company may be guilty of all of the following except: - Answer- rebating Which of the following would not be considered an "advertisement" in a sales presentation? - Answer- impromptu answers given during questioning Telephone solicitations may not be made after - Answer- 9pm A policy summary provides information about - Answer- policy costs and benefits Which of the following is true of the General Price List (GPL)? - Answer- A copy must be physically offered to every consumer to keep. After the prepaid funeral contract is executed, all of the following parties must receive copies except - Answer- The TDOB (yes to provider, purchaser, insurance company) The rules that standardize the content of prepaid funeral contracts and establish procedures for their sale to the general public can be found - Answer- in the Texas Administrative Code (TAC) All Texas prepaid funeral contracts must be approved by - Answer- The Texas Department of Banking A preneed contract is required to contain all of the following except - Answer- the insurance policy number A __________ refers to a grouping of multiple funeral goods and services offered to the purchaser at a single price. - Answer- package sale The aggregate initial face value of one or more insurance policies issued to fund a prepaid funeral contract may not exceed the total contract price by more than - Answer- 5% The person charged with the disposition of the contract beneficiary's remains can make changes to the funeral merchandise and services under a fully paid prepaid funeral contract - Answer- 1) up to 25% of the total contract amount 2) unless the purchaser requested no change be made 3) only the method of disposition can be changed after death 4) ALL OF THE ABOVE An insurance-funded prepaid funeral contract must be executed at the same time as the application for insurance. - Answer- true An insurance policy intended to fund preneed contract must be issued within _______ days of when the contract was signed by the purchaser. - Answer- ? In the event a funeral home goes out of business, the permit holder/seller must make an attempt to locate a successor funeral home who is willing to assume their contracts. - Answer- True The following document(s) is/are required by the TDOB on all death claims where the contracted funeral home performs services: - Answer- 1) preneed contract 2) insurance policy schedule pages 3) preneed to at need reconciliation signed by the funeral provider 4) ALL OF THE ABOVE In a trust to insurance funded conversion, the purchasers of the funeral contracts: - Answer- can request that all money in their account be refunded without penalty. All of the following are true of a life insurance policy except - Answer- it pays a benefit to the insured in case of death Whole life insurance is designed to provide protection up to _______. - Answer- Age 100 If the insurance company's performance improves, the owner of an interest-sensitive whole life policy may _______. - Answer- Pay lower premiums for the same benefits. During the vesting period on a deferred whole life policy, the death benefit _______. - Answer- Increases Cash values in whole life policies are created by _______. - Answer- Excess premiums. Which of the following whole life plans requires premiums payable throughout the life of the policy? - Answer- Continuous-premium whole life insurance.