Primerica Exam |Question and Answer| 100% Correct

Primerica Exam |Question and Answer| 100% Correct Which of the following is not ordinary life insurance? a. A life paid up to 65 policy b. A 30 year decreasing term policy c. A group life insurance policy d. A 20-year endowment policy *Ans* c. A group life insurance policy A failure to communicate information which a party to an insurance contract knows and should communicate, is called an act of: a. Concealment b. Intimidation c. Warranty d. Coercion *Ans* a. Concealment When a family policy covers children all of the following are true, except: a. The coverage is term insurance for a fixed amount b. Evidence of insurability is required if coverage for children is permanent insurance c. There is no additional charge for covering new additions to the family d. All children living with the family are covered even if born or adopted after the policy is issued *Ans* b. Evidence of insurability is required of coverage for children is permanent insurance Which of the following is not one of the common personal uses of life insurance? a. Funding a buy/sell agreement b. Helping to fund a person's retirement c. Creating emergency funds to avoid the need to liquidate assets d. Creation of an immediate estate *Ans* a. Funding a buy/sell agreement An individual license is considered terminated: a. When transferred to another person b. When transferred to another license c. On the death of the licensee d. When transferred to a beneficiary *Ans* c. On the death of a licensee The movie company concerned about their financial losses in case of the illness of one of their actors would purchase: a. Surgery insurance b. Worker's compensation c. Miscellaneous insurance d. Credit insurance *Ans* a. Surety insurance What must insurer do who accepts an application from an agent who is not specifically appointed by the insurer and then issued a policy from the application? a. The agent must become an employee of that company within 30 days or re-submit the application b. Add the agent's name on the company's list of approved agents c. Send the agent an employee approval notice within 30 days of the policy issuance d. Forward to the Insurance Commissioner a Notice of Appointment within the 14 days of receipt of application *Ans* d. Forward to the Insurance Commissioner a Notice of Appointment within 14 days of receipt of application Which of the following is considered ordinary life insurance? a. Mortgage insurance b. Continuous premium whole life c. Group insurance d. 30-year decreasing term insurance *Ans* a. Mortgage insurance Which of the following is a true statement regarding the Social Security (OASDHI) program? a. The program fully funded b. Except for a few exemptions, it is a voluntary program c. The program provides a minimum floor of income and is meant to supplement a retirees own personal program d. The actuarial value of each person's contribution is equal to the actual value of each person's benefit *Ans* c. The program provides a minimum floor of income and is meant to supplement a retirees own personal program Which party has the rights in a life insurance policy only after the death of the insured? a. The policy owner