Primerica Life Insurance Exam (Latest);
Questions and Answers
An insured purchased an insurance policy 5 years ago. Last year, she received a
dividend check
from the insurance company that was not taxable. This year, she did not receive
a check from the
insurer. From what type of insurer did the insured purchase the policy?
a. mutual
b. reciprocal
c. nonprofit service organization
d. stock ✔✔A. mutual
funds not paid out after paying claims and other operating costs are returned to
the policy owners
in the form of a dividend. if all funds are paid out, no dividends are paid
Following a career change, an insured is no longer required to perform many
physical activities,
, Primerica Life Insurance Exam (Latest);
Questions and Answers
so he has implemented a program where he walks and jogs for 45 minutes each
morning. The
insured has also eliminated most fatty foods from his diet. Which method of
dealing with risk
does this scenario describe?
a. retention
b. reduction
c. transfer
d. avoidance ✔✔B. reduction
the insured's change in lifestyle and habits would likely reduce the chances of
health problems
In insurance, an offer is usually made when
a. an applicant submits an application to the insurer
b. the insurer approves the application and receives the initial premium
c. the agent hands the policy to the policyholder
, Primerica Life Insurance Exam (Latest);
Questions and Answers
d. an agent explains a policy to a potential applicant ✔✔A. an applicant submits
an application to
the insurer
in insurance, the offer is usually made by the applicant in the form of an
application. acceptance
takes place when an insurer's underwriter approves the application and issues a
policy
the causes of loss insured against in an insurance policy are known as
a. perils
b. losses
c. risks
d. hazards ✔✔A. perils
perils are the causes of loss insured against in an insurance policy
what documentation grants express authority to an agent?
a. agents contract with the principal
, Primerica Life Insurance Exam (Latest);
Questions and Answers
b. agents insurance license
c. fiduciary contract
d. state provisions ✔✔A. agents contract with the principal
the principal grants authority to an agent through the agent's contract
which of the following best describes an insurance company that has been
formed under the laws
of this state?
a. domestic
b. sovereign
c. alien
d. foreign ✔✔A. domestic
a company is domestic when doing business within the state in which it is
incorporated
which of the following factors is NOT considered by an underwriter when
determining the
Questions and Answers
An insured purchased an insurance policy 5 years ago. Last year, she received a
dividend check
from the insurance company that was not taxable. This year, she did not receive
a check from the
insurer. From what type of insurer did the insured purchase the policy?
a. mutual
b. reciprocal
c. nonprofit service organization
d. stock ✔✔A. mutual
funds not paid out after paying claims and other operating costs are returned to
the policy owners
in the form of a dividend. if all funds are paid out, no dividends are paid
Following a career change, an insured is no longer required to perform many
physical activities,
, Primerica Life Insurance Exam (Latest);
Questions and Answers
so he has implemented a program where he walks and jogs for 45 minutes each
morning. The
insured has also eliminated most fatty foods from his diet. Which method of
dealing with risk
does this scenario describe?
a. retention
b. reduction
c. transfer
d. avoidance ✔✔B. reduction
the insured's change in lifestyle and habits would likely reduce the chances of
health problems
In insurance, an offer is usually made when
a. an applicant submits an application to the insurer
b. the insurer approves the application and receives the initial premium
c. the agent hands the policy to the policyholder
, Primerica Life Insurance Exam (Latest);
Questions and Answers
d. an agent explains a policy to a potential applicant ✔✔A. an applicant submits
an application to
the insurer
in insurance, the offer is usually made by the applicant in the form of an
application. acceptance
takes place when an insurer's underwriter approves the application and issues a
policy
the causes of loss insured against in an insurance policy are known as
a. perils
b. losses
c. risks
d. hazards ✔✔A. perils
perils are the causes of loss insured against in an insurance policy
what documentation grants express authority to an agent?
a. agents contract with the principal
, Primerica Life Insurance Exam (Latest);
Questions and Answers
b. agents insurance license
c. fiduciary contract
d. state provisions ✔✔A. agents contract with the principal
the principal grants authority to an agent through the agent's contract
which of the following best describes an insurance company that has been
formed under the laws
of this state?
a. domestic
b. sovereign
c. alien
d. foreign ✔✔A. domestic
a company is domestic when doing business within the state in which it is
incorporated
which of the following factors is NOT considered by an underwriter when
determining the
