REAL FLORIDA LIFE AND HEALTH 2-15 EXAM 200 QUESTIONS AND CORRECT DETAILED ANSWERS UPDATE ALREADY A GRADED Which of the following statements is correct about a limited pay life policy ? CORRECT ANSWER Premium payments are limited to

REAL FLORIDA LIFE AND HEALTH 2-15 EXAM 200 QUESTIONS AND CORRECT DETAILED ANSWERS UPDATE ALREADY A GRADED Which of the following statements is correct about a limited pay life policy ? CORRECT ANSWER Premium payments are limited to a specified number of a years Which of the following statements is correct about a while life policy? -CORRECT ANSWER The policy owner may borrow against the cash value of the poicy. Which of the following items may beused to include coverage for children under their parents insurance policy? CORRECT ANSWER Term rider Which life insurance arrangement is used to circumvent state insurable insurable interest statutes key person insurance ? -CORRECT ANSWER Investor originated life insurance The concept of level premiums CORRECT ANSWER Charges more than needed in early years A policy that is overfunded, according to IRS tables, is cassified as which of the following types of policies? -CORRECT ANSWER Modified Endowment Contract An agent is required to register with the National association of Securities Dealer (NASD) in order to sell -CORRECT ANSWER Variable life J, a 30 year old proposed insured, pans to retire at age 60 and wants to purchase life insurance that offers level premiums and life protection. If J also wants the policy to be puf up when J retires J should buy -CORRECT ANSWER 30 Pay Life Under a Limited-Pay Life policy, the death benefit coverage usually continues -CORRECT ANSWER To age 100 Equity indexed life insurance CORRECT ANSWER •Is linked to an outside equity index, like S&P 500. •It is permanent insurance and the cash value accumulate at a guaranteed minimum rate. •If the return of the index exceeds the policy's guaranteed rate of return, the cash value will reflect that of the index. Variable whole life policy offers which of the following features -CORRECT ANSWER A fixed, level premium