Primerica Life Insurance Exam | 2023/ 2024 Newly Updated!!! (Questions and Verified Answers with Rationales) 100% Correct

Primerica Life Insurance Exam | 2023/ 2024 Newly Updated!!! (Questions and Verified Answers with Rationales) 100% Correct 1. Which of the following best defines target premium in a universal life policy? ~ Answer: The recommended amount to keep the policy in force throughout its lifetime 2. Which of the following would help prevent a universal life policy from lapsing? ~ Answer: Target premium 3. A Universal Life insurance policy is best described as a/an ~ Answer: Annually Renewable Term policy with a cash value account 4. During partial withdrawal from a universal life policy, which portion will be taxed? ~ Answer: Interest 5. Which type of life insurance policy allows the policy owner to pay more or less than the premium? ~ Answer: Universal Life 6. For variable products, underlying assets must be kept in ~ Answer: A separate account 7. What are the two components of a universal policy? ~ Answer: Insurance and cash account 8. Which Universal Life option has a gradually increasing cash value and a level death benefit? ~ Answer: Option A 9. The death benefit in a variable universal life policy ~ Answer: Depends on the performance of a separate account 10. An insured purchased a variable life insurance policy with a face amount of $50,000. Over the life of the policy, stock performance declined and the cash value fell to $10,000. If the insured dies, how much will be paid out? ~ Answer: $50,000 11. What are the licensing requirements for someone who sells variable universal life insurance? ~ Answer: Life insurance and securities 12. All of the following entities regulate variable life policies EXCEPT ~ Answer: The Guaranty Association 13. Which of the following determine the cash value of a variable life policy? ~ Answer: The performance of the policy portfolio 14. A married couple owns a permanent policy which covers both of their lives and pays the death benefit only upon the death of the first insured. Which policy is that? ~ Answer: Joint Life Policy 15. The premium of a survivorship life policy compared with that of a joint life policy would be ~ Answer: Lower 16. Which of the following features of the Indexed Whole Life policy is NOT fixed? ~ Answer: Cash value growth 17. An insured purchased a Life insurance policy. The agent told him that depending upon the company's investments and expense factors, the cash values could change from those shown in the policy issue at the time. This policy is a/an ~ Answer: Interest-sensitive Whole Life 18. Which of the following is TRUE regarding the accumulation period of an annuity?