Insurance License Practice XCEL solutions FINAL EXAM #12 - Texas life only Questions and Answers

Insurance License Practice XCEL
solutions FINAL EXAM #12 - Texas life
only Questions and Answers

Question 16
What does a 401(k) plan generally provide its participants? - ANSWER-Salary-
deferral contributions

Question 17
All these statements concerning Settlement Options are true, EXCEPT? - ANSWER-
Only the beneficiary may select

Question 18
A domestic insurance company in Texas is considered a company that? - ANSWER-
Is incorporated and formed in Texas

Question 19
Which of the following statements about non-contributory employee group life
insurance is FALSE? - ANSWER-A minimum number of employees is required to
participate

Question 20
when a misrepresentation on a life insurance policy application is discovered what
action may an insurance company take? - ANSWER-void the policy only if it is
discovered during the contestable period and proven to be material

Question 21
In Texas how long must a policy be in force before an insurance company must pay
death benefits for suicide - ANSWER-2 years

Question 22
All these statements about the waiver of premium provision are correct EXCEPT? -
ANSWER-insured must be eligible for Social Security disability for claim to be
accepted

Question 23
Employee with $25,000 group term life coverage was recently fired. This employee's
group coverage may be converted to a? - ANSWER-$25,000 individual whole life
policy

Question 24
What type of life policy covers 2 lives and pays the face amount after the first one
dies? - ANSWER-Joint life policy

Question 25

, Which of these provisions is not required in life insurance policies? - ANSWER-
Extended term

Question 26
If you insured's age was misstated on a life insurance contract, the misstatement of
age provision requires that any death benefit payable would be? - ANSWER-an
amount that the premiums paid would have purchased at the current age

Question 27
what provision in a life insurance policy states that the application is considered part
of the contract? - ANSWER-Entire contract provision

Question 28
M has an insurance policy that also has an outstanding policy loan at a time of M's
death. The insurer will deduct the outstanding loan balance from the? - ANSWER-
Policy proceeds

Question 29
Under the USA Patriot act, insurers are required to report receipt of cash payments
in excess of? - ANSWER-$10,000

Question 30
Credit life insurance is? - ANSWER-insurance issued on a debtor to cover
outstanding loan balance

Question 31
The phrase "transacting business" includes - ANSWER-Collecting premiums

Question 32
What is the purpose of the USA Patriot act? - ANSWER-Detect and deter terrorism

Question 33
an insurer is NOT required to provide information on fraudulent claims if requested
by? - ANSWER-An insured

Question 34
Which of the following is Not included in a life insurance illustration? - ANSWER-
Companies mortality table

Question 35
Employee is covered under a group life plan with a $50,000 death benefit. What is
the maximum amount a spouse may be insured for under this program? - ANSWER-
$25,000

Question 36
which life insurance rider typically appears on a Juvenile life insurance policy -
ANSWER-Payor benefit rider

Question 37