PA Life Insurance License Exam Questions and Answers 100% Pass

PA Life Insurance License Exam Questions and Answers 100% Pass an immediate annuity has been purchased with a single premium. when does the annuitant typically begin receiving benefit payments? - 1 month An insurer will accept a premium from the insured and continue the coverage in full force as though it was NOT late during which time period? Incontestable period Probation period Reinstatement period Grace period - Grace period The grace period is the amount of time an insurer continues coverage in full force and will accept the premium from the insured as though it was NOT late. A little insurance producer licensed in the commonwealth of PA is authorized to - Solicit, Receive and forward applications to insurers Upon policy delivery, which of the following must a producer have an applicant sign if no initial premium was collected with the life insurance application? - A good health statement Page 2/11 Crafted for Academic Insight by KatelynWhitman. All rights reserved © 2025 Which contract element is insurable interest a component of? - legal purpose All of these are common exclusions to a life insurance policy EXCEPT - accidental death An insurer's ability to make unpredictable payouts to policyowners is called - liquidity A policy owner may exercise which of these dividend options that uses the dividend to pay all or part of the next premium due - Reduction of Premium Dividend Option when collecting insurance premiums from a client, a producer must - forward premiums to the insurer on a timely basis Jonas is a whole life insurance policyowner and would like to add coverage for his two children. Which of the following products would allow him to accomplish this? - Child term rider Shirley has a $500,000 10-year non-renewable level term life policy. If she dies 15 years after the policy's inception date, how much will her beneficiary receive? - nothing A resident produces license requires each of the following EXCEPT - Insurers appointment What is the automatic continuance of insurance coverage referred to act - renewal Julie has a $100,000 30-year mortgage on her new home. What type of life insurance could she purchase that is designed to pay off the loan balance if she dies within the 30-year period? - Decreasing term insurance Under a Modified Endowment Contract, what are the likely tax consequences? - Pre-death distributions will become taxable which of the following protects a policy owner from a misrepresentation caused by an innocent mistake - Incontestable Clause Page 3/11 Crafted for Academic Insight by KatelynWhitman. All rights reserved © 2025 A Modified Endowment Contract (MEC) is best described as - A life insurance contract which accumulates cash values higher than the IRS will allow all of these typically sources of underwriting information for life or health insurance EXCEPT - disclosure authorization response when an insurance company consistently fails to provide reasonable explanations for the denial of a claim, this is called - Unfair Settlement an insurer formed according to the legal requirements of another country is considered - alien insurer An insurer's claim settlement practices are regulated by the - State insurance departments agreements made by terminally if persons to self life insurance policies at a discount in order to pay medical expenses are called - vatical settlements a life insurance illustration showing future premiums being paid out if non guaranteed values must disclose that - the policy owner may need to resume premium payment is depending on actual results in order to solicit insurance in PA, all of the following is required EXCEPT - be atleast 21 years of age An annuitant dies during the distribution period. What kind of annuity will return to a beneficiary the difference between the annuity value and the income payments already made? - Refund annuity A producer's license CANNOT be revoked without - a hearing given to the producer one role of the commissioner is to - enforce state insured laws Which annuity payout option allows the policyowner to choose a pre-determined numbe