PSI Online Practice Life Exam Questions with Verified Answers 100%

PSI Online Practice Life Exam Questions with Verified Answers
100%


1. If the insurer wishes to share an applicant's HIV status, the applicant must be given full n
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otice of all of the following EXCEPT
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A-The applicant's rights to maintain privacy
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B-An opportunity to refuse the dissemination of the information
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C-Insurer's practices with respect to the treatment of this information D-
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The treatment procedures that are covered by the policy.: D
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2. All of the following are common exclusions from loss found in disability income polici
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es EXCEPT for that incurred while
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A) committing a misdemeanor r r



B) piloting a personal aircraft r r r



C) living overseas r



D) serving in the military: A r r r r



3. What type of insurance should a company purchase if it wants to insure the life of its CEO?
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A) BOE insurance r



B) key person insurance r r



C) industrial life insurance r r



D) group life policy: B r r r



4. For an individual long-term care policy there is an annual dollar limit for tax-
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deductions that is base on which of the following? r r r r r r r r




A) age
B) premium cost r



C) cost of care r r



D) policy value: A r r



5. Which of the following is exempted from the incontestability provision in insurance pol
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,icies?

A) change in health r r



B) pre-existing conditions r



C) changes in the insurance code
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D) fraudulent misstatements: D r r



6. Which of the following term insurance types provides temporary protection that can be ch
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anged to some type of permanent protection without evidence of insurability?
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, A) re-entry
B) decreasing
C) level
D) convertible: D r



7. Which annuity settlement option provides a stated monthly amount to the annuitant an
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d upon the annuitant's death the same or a lesser amount paid for the lifetime of the surviv
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or?

A) Refund life annuity option r r r



B) Life annuity certain option
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C) Joint life option r r



D) Joint and survivorship option: Dr r r r



8. Which one of the following is particularly important for an insurance pro-
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ducer to explain to a client upon delivery of a life insurance policy?
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A) the effective date r r



B) premium due dates r r



C) any exclusions loan i r r r



nterest rates:C r r



9. All of the following are ownership rights EXCEPT
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A) assigning all of the rights of the policy to another person r r r r r r r r r r



B) switching the policy from one insured to anther r r r r r r r



C) borrowing funds against cash value r r r r



D) changing the beneficiary of the policy: B r r r r r r



10. How might someone cover the extra expenses of child care and home-re- lated costs?
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A) adding coverage of a grandparent r r r r



B) purchasing a substitute insured rider r r r r



C) adding cost of living coverage r r r r



D) purchasing family term insurance: D r r r r



11. All of the following are required signatures on a life insurance application EXCEPT
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