1|Page
RHODE ISLAND INSURANCE EXAM QUESTIONS
& CORRECT ANSWERS 2025
which of these provisions require proof of insurability after a policy has labled-
correct-answer-reinstatement
a cost of living rider gives the insured-correct-answer-additional death benefits
The provision that can be used to put an insurance policy back in force after it has
lapsed due to nonpayment is called-correct-answer-reinstatement
which of these statements in incorrect regarding the federal income tax treatment
of life insurance-correct-answer-entire cash surrender value is taxable
Quarterly premium payments increase the annual cost of insurance because-
correct-answer-interest to the insurer is decreased while the administrative costs
are increased
,2|Page
on a life insurance policy who is qualified to change the beneficiary designation-
correct-answer-policy owner
J chooses a monthly premium payment mode on his Whole Life insurance policy.
Which of these statements is correct?-correct-answer-the gross premium is
higher on a monthly payment mode as compared to being paid annually
a level premium indicates-correct-answer-the premium is fixed for the entire
duration of the contract
a(n) ____ beneficiary may be changed by the policy owner without the consent of
the beneficiary-correct-answer-revocable
Which premium schedule results in the lowest cost to the policyowner?-correct-
answer-annual
the common disaster clause provides that if both the insured and the sole named
beneficiary were to die in a common accident, which is true?-correct-answer-this
clause provides the payment of proceeds to the insured estate
, 3|Page
a whole life insurance policy owner doesn't wish to continue making premium
payments. which of the following enables the policy owner to sell the policy for
more than its cash value-correct-answer-life settlement contract
Which settlement option pays a stated amount to an annuitant, but no residual
value to a beneficiary?-correct-answer-life income
T and S are named co-primary beneficiaries on a $500,000 Accidental Death and
Dismemberment policy insuring their father. Their mother was named contingent
beneficiary. Five years later, S dies of natural causes and the father is killed in a
scuba accident shortly afterwards. How much of the death benefit will the mother
receive?-correct-answer-$0 because T is still alive
K has a life insurance policy where her husband is beneficiary and her daughter is
contingent beneficiary. Under the Common Disaster clause, if K and her husband
are both killed in an automobile accident, where would the death proceeds be
directed?-correct-answer-daughter
a policy owner is able to choose the frequency of premium payments through
what policy feature-correct-answer-premium mode
RHODE ISLAND INSURANCE EXAM QUESTIONS
& CORRECT ANSWERS 2025
which of these provisions require proof of insurability after a policy has labled-
correct-answer-reinstatement
a cost of living rider gives the insured-correct-answer-additional death benefits
The provision that can be used to put an insurance policy back in force after it has
lapsed due to nonpayment is called-correct-answer-reinstatement
which of these statements in incorrect regarding the federal income tax treatment
of life insurance-correct-answer-entire cash surrender value is taxable
Quarterly premium payments increase the annual cost of insurance because-
correct-answer-interest to the insurer is decreased while the administrative costs
are increased
,2|Page
on a life insurance policy who is qualified to change the beneficiary designation-
correct-answer-policy owner
J chooses a monthly premium payment mode on his Whole Life insurance policy.
Which of these statements is correct?-correct-answer-the gross premium is
higher on a monthly payment mode as compared to being paid annually
a level premium indicates-correct-answer-the premium is fixed for the entire
duration of the contract
a(n) ____ beneficiary may be changed by the policy owner without the consent of
the beneficiary-correct-answer-revocable
Which premium schedule results in the lowest cost to the policyowner?-correct-
answer-annual
the common disaster clause provides that if both the insured and the sole named
beneficiary were to die in a common accident, which is true?-correct-answer-this
clause provides the payment of proceeds to the insured estate
, 3|Page
a whole life insurance policy owner doesn't wish to continue making premium
payments. which of the following enables the policy owner to sell the policy for
more than its cash value-correct-answer-life settlement contract
Which settlement option pays a stated amount to an annuitant, but no residual
value to a beneficiary?-correct-answer-life income
T and S are named co-primary beneficiaries on a $500,000 Accidental Death and
Dismemberment policy insuring their father. Their mother was named contingent
beneficiary. Five years later, S dies of natural causes and the father is killed in a
scuba accident shortly afterwards. How much of the death benefit will the mother
receive?-correct-answer-$0 because T is still alive
K has a life insurance policy where her husband is beneficiary and her daughter is
contingent beneficiary. Under the Common Disaster clause, if K and her husband
are both killed in an automobile accident, where would the death proceeds be
directed?-correct-answer-daughter
a policy owner is able to choose the frequency of premium payments through
what policy feature-correct-answer-premium mode
