NEW JERSEY LIFE INSURANCE EXAM QUESTIONS AND ANSWERS
adhesion - (ANSWER)(take it or leave it) no changing the contract. take it as is.
aleatory contract - (ANSWER)(uneven) You will never pay as much in premium as what you get in
coverage
peril - (ANSWER)died of a certain way
Hazard - (ANSWER)cause of loss
Variable Universal Life - (ANSWER)requires FINRA license
the difference between insure vs. insured - (ANSWER)Insure (must pay policy benefit "the company")
insured (the customer)
S & P 500 - (ANSWER)Equity index annuity would have a minimum guaranteed interest rate, but may
have a higher rate of return
who must sign application of insurance - (ANSWER)Owner, insured, and agent all three must sign
Differed compensation plans - (ANSWER)an example of a non qualified retirement plan
Qualified retirement plans - (ANSWER)Keogh, 401K, IRA
conditional receipt - (ANSWER)serves as proof that the agent confirmed the insurance company will fully
insure the applicant
accelerated living benefit - (ANSWER)pays out death benefit while alive due to illness live threatning
reason
, NEW JERSEY LIFE INSURANCE EXAM QUESTIONS AND ANSWERS
convertible insurance - (ANSWER)the type of policy that can be changed from one that doen't usually
have cash value to one that does
uniform simultaneous death act - (ANSWER)under the common disaster clause if it can't be determined
who died first it is assumed the beneficiary
Fair credit report act - (ANSWER)the federal law that permits applicants for insurance to question the
validity and source of any credit info
certificate of authority - (ANSWER)the ability to transact insurance business in New Jersey is garunteed
to an insurer
Foreign Company - (ANSWER)an insurer that is incorporated in New York but authorized to do business
in New Jersey
comparable License - (ANSWER)to be elegeble for a nonresident producer license the producer must
hold compairable license in home state
Guaranty Association - (ANSWER)non profit legal entity that protects public from company insolvency
all of the following are characteristics of credit life - (ANSWER)- proceeds are paid directly to the lender
- Benifits are limited to the exact amounts of the loan
- the policy could be group or indivisual
all the following are considered to be forms of advertising - (ANSWER)- Materials used for agent
recruiting
- Magazine advertising
- Prepared sales talks
adhesion - (ANSWER)(take it or leave it) no changing the contract. take it as is.
aleatory contract - (ANSWER)(uneven) You will never pay as much in premium as what you get in
coverage
peril - (ANSWER)died of a certain way
Hazard - (ANSWER)cause of loss
Variable Universal Life - (ANSWER)requires FINRA license
the difference between insure vs. insured - (ANSWER)Insure (must pay policy benefit "the company")
insured (the customer)
S & P 500 - (ANSWER)Equity index annuity would have a minimum guaranteed interest rate, but may
have a higher rate of return
who must sign application of insurance - (ANSWER)Owner, insured, and agent all three must sign
Differed compensation plans - (ANSWER)an example of a non qualified retirement plan
Qualified retirement plans - (ANSWER)Keogh, 401K, IRA
conditional receipt - (ANSWER)serves as proof that the agent confirmed the insurance company will fully
insure the applicant
accelerated living benefit - (ANSWER)pays out death benefit while alive due to illness live threatning
reason
, NEW JERSEY LIFE INSURANCE EXAM QUESTIONS AND ANSWERS
convertible insurance - (ANSWER)the type of policy that can be changed from one that doen't usually
have cash value to one that does
uniform simultaneous death act - (ANSWER)under the common disaster clause if it can't be determined
who died first it is assumed the beneficiary
Fair credit report act - (ANSWER)the federal law that permits applicants for insurance to question the
validity and source of any credit info
certificate of authority - (ANSWER)the ability to transact insurance business in New Jersey is garunteed
to an insurer
Foreign Company - (ANSWER)an insurer that is incorporated in New York but authorized to do business
in New Jersey
comparable License - (ANSWER)to be elegeble for a nonresident producer license the producer must
hold compairable license in home state
Guaranty Association - (ANSWER)non profit legal entity that protects public from company insolvency
all of the following are characteristics of credit life - (ANSWER)- proceeds are paid directly to the lender
- Benifits are limited to the exact amounts of the loan
- the policy could be group or indivisual
all the following are considered to be forms of advertising - (ANSWER)- Materials used for agent
recruiting
- Magazine advertising
- Prepared sales talks
