Pearson Vue Insurance
Practice Exam
Two business partners own life insurance on each other. If one partner
dies, which of the following contracts will allow the other partner to buy
100 percent of the business interest? ---ANSWER--- buy-sell agreement
The right to change a beneficiary designation is reserved for the: ---
ANSWER--- Policyowner
Which of the following retirement plans is tax-qualified? ---ANSWER---
Defined contribution
In life insurance, insurance interest must exist at the time the ---
ANSWER--- Producer writes an application on a proposed insured
A contract that has as its basic function the systematic liquidation of
accumulated assets through periodic payments is called an ---ANSWER---
annuity
, Which of the following statements is correct about the paid-up additions in
a participating whole life policy? ---ANSWER--- They are purchased on an
attained age basis
An insurance producer takes an application for a life insurance policy but
does not collect the initial premium. On delivery of the policy to the
proposed insured, the producer must collect the initial premium and which
of the following? ---ANSWER--- The insured's signed statement of
continued good health
Under the social security retirement benefits, all of the following factors will
influence how much a retiring individual will receive as a monthly income
benefit except the individual's ---ANSWER--- Sex
Which of the following provisions in a life policy specifies the manner in
which proceeds will be paid to a beneficiary on the death of the insured? --
-ANSWER--- Settlement options
The waiver of premium provision of a life policy allows the insurer to take
which of the following actions? ---ANSWER--- waive an insured's
premiums if the insured becomes totally disabled before a certian age
Practice Exam
Two business partners own life insurance on each other. If one partner
dies, which of the following contracts will allow the other partner to buy
100 percent of the business interest? ---ANSWER--- buy-sell agreement
The right to change a beneficiary designation is reserved for the: ---
ANSWER--- Policyowner
Which of the following retirement plans is tax-qualified? ---ANSWER---
Defined contribution
In life insurance, insurance interest must exist at the time the ---
ANSWER--- Producer writes an application on a proposed insured
A contract that has as its basic function the systematic liquidation of
accumulated assets through periodic payments is called an ---ANSWER---
annuity
, Which of the following statements is correct about the paid-up additions in
a participating whole life policy? ---ANSWER--- They are purchased on an
attained age basis
An insurance producer takes an application for a life insurance policy but
does not collect the initial premium. On delivery of the policy to the
proposed insured, the producer must collect the initial premium and which
of the following? ---ANSWER--- The insured's signed statement of
continued good health
Under the social security retirement benefits, all of the following factors will
influence how much a retiring individual will receive as a monthly income
benefit except the individual's ---ANSWER--- Sex
Which of the following provisions in a life policy specifies the manner in
which proceeds will be paid to a beneficiary on the death of the insured? --
-ANSWER--- Settlement options
The waiver of premium provision of a life policy allows the insurer to take
which of the following actions? ---ANSWER--- waive an insured's
premiums if the insured becomes totally disabled before a certian age
