PA Life practice exam from PSI Questions and Answers 100% Verified

PA Life practice exam from PSI Questions and Answers 100% Verified


1. Obtaining consumer information reports under false pretenses is prose-
o o o o o o o o



cutable by which of the following?
o o o o o o



1.
USA Patriot Act 2. o o o



Fair Credit Reporting Act 3.
o o o o



State laws where the applicant resides 4.
o o o o o o



Securities and Exchange Commission: 2. Fair Credi
o o o o o o



t Reporting Act
o o



2. All of the following are features of the spendthrift clause EXCEPT
o o o o o o o o o o




1.
proceeds are paid in some other way than a single lump sum. 2.
o o o o o o o o o o o o



proceeds are protected by the insurer from the beneficiary's creditors. 3.
o o o o o o o o o o



transfer of proceeds to creditors is prohibited. 4.
o o o o o o o



the beneficiary may encumber the proceeds.: 4. the ben
o o o o o o o o



eficiary may encumber the proceeds.
o o o o



3. What procedure is used by an insurer to protect itself in the event a dispute arises and th
o o o o o o o o o o o o o o o o o



e applicant and the agent do not recall the changes that were made in a completed applic
o o o o o o o o o o o o o o o o



ation?
1.
The applicant and possibly the agent initial any changes made. 2.
o o o o o o o o o o



The applicant and the agent sign a document that outlines changes made. 3.
o o o o o o o o o o o o



An arbitration agreement is signed at the time of the signing of the applica- tion.
o o o o o o o o o o o o o o



4.
All changes must be approved by the underwriter prior to the submission of the application
o o o o o o o o o o o o o o



1.
o



The applicant and possibly the agent initial any changes made.
o o o o o o o o o


1.
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,4. All of the following are ownership rights EXCEPT
o o o o o o o




2.
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, changing the beneficiary of the policy 2. o o o o o o



borrowing funds against cash value 3. o o o o o



switching the policy from one insured to another 4.o o o o o o o o



assigning all of the rights of the policy to another person: 3. switching the
o o o o o o o o o o o o o o



policy from one insured to another
o o o o o



5. Which policy type is backed by equity investments and allows the policy-
o o o o o o o o o o o



holder to adjust the death benefit?
o o o o o o




1.
term life 2. o o



variable life 3 o o



.
regular whole life 4. o o o



variable universal life: 4. varia o o o o



ble universal life
o o



6. The right to change the beneficiary or dispose of the policy or its benefits in any manner
o o o o o o o o o o o o o o o o



oone chooses is reserved to the policyowner UNLESS which of the following is true?
o o o o o o o o o o o o o




1.
The policyowner has named an irrevocable beneficiary. 2.
o o o o o o o



The policyowner has named a revocable beneficiary. 3.
o o o o o o o



The policyowner deems the beneficiary unfit. 4.
o o o o o o



The insurer prohibits changes to beneficiaries.: 1. The policyo
o o o o o o o o



wner has named an irrevocable beneficiary.
o o o o o



7. Which one of the following is particularly important for an insurance pro-
o o o o o o o o o o o



ducer to explain to a client upon delivery of a life insurance policy?
o o o o o o o o o o o o o




1.
the effective date
o o




3.
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