SC Insurance Exam Questions and Answers (Rated A+)

If the annuitant dies before the annuity start date -ANSWER -the premiums paid plus interest earned will be given to the beneficiary An insured individual and the policy's beneficiary die from the same accident. The common disaster provision states the insurer will continue as if -ANSWER -the insured outlived the beneficiary Naming a contingent beneficiary as "all surviving children" is described by which term? -ANSWER -Class Designation The Director MUST examine domestic insurers AT LEAST once every -ANSWER -Year Health insurance policies issued in South Carolina must provide a free-look period of at least -ANSWER -10 Days Which type of business insurance is meant to cover the costs of continuing to do business while the owner is disabled? -ANSWER -Disability overhead policy When a life insurance policy is issued to replace another life insurance policy, which of the following does NOT need to be provided to the purchaser at or before the time the policy is delivered? -ANSWER -The replacing insurer's financial statements An error was made on Mary's life insurance application. Which of the following areas do errors commonly occur on applications and for which the incontestable clause does NOT apply? -ANSWER -Age Which settlement option pays a stated amount to an annuitant, but no residual value to a beneficiary? -ANSWER -Life Income All of the following plans allow for employee contributions to be taken on a pre-tax basis EXCEPT -ANSWER -Health Reinburesement What guarantees that the statements supplied by an insurance applicant are true? -ANSWER -Warranty Under a non-qualified annuity, interest is taxed after the -ANSWER -exclusion ratio has been calculated