PA Life, Accident, and Health Exam Prep Questions And Answers
(202472025)
Industrial Life Insurance - ✔✔issues small amounts
premiums paid weekly & collected by debit agents
designed for burial coverage
Ordinary Life Insurance - ✔✔made up of several types of individual life insurance, such as
temporary (term), permanent (whole)
Group Life Insurance - ✔✔written for members of a group
underwritten as a group, not each individual member
coverage provided under one master contract
Term Life Insurance - ✔✔greatest amount of coverage for limited period of time
inexpensive
cheapest type of pure life insurance and will always be cheaper than ordinary life insurance
provides pure death protection since it only pays a death benefit if the insured dies during the
policy term
Level Term Insurance - ✔✔level face amount and level premiums
provides fixed, low premium in exchange for coverage which lasts a specified time period
Decreasing Term - ✔✔provides an annually decreasing face amount over time with level
premiums
usually used for mortgage protection - will decrease until mortgage is paid off
Convertible Term - ✔✔allows policy holders to convert their term insurance into permanent life
insurance without proof of insurability
(202472025)
Industrial Life Insurance - ✔✔issues small amounts
premiums paid weekly & collected by debit agents
designed for burial coverage
Ordinary Life Insurance - ✔✔made up of several types of individual life insurance, such as
temporary (term), permanent (whole)
Group Life Insurance - ✔✔written for members of a group
underwritten as a group, not each individual member
coverage provided under one master contract
Term Life Insurance - ✔✔greatest amount of coverage for limited period of time
inexpensive
cheapest type of pure life insurance and will always be cheaper than ordinary life insurance
provides pure death protection since it only pays a death benefit if the insured dies during the
policy term
Level Term Insurance - ✔✔level face amount and level premiums
provides fixed, low premium in exchange for coverage which lasts a specified time period
Decreasing Term - ✔✔provides an annually decreasing face amount over time with level
premiums
usually used for mortgage protection - will decrease until mortgage is paid off
Convertible Term - ✔✔allows policy holders to convert their term insurance into permanent life
insurance without proof of insurability
