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ARIZONA LIFE AND HEALTH INSURANCE LICENSING EXAM 2
VERSIONS 2025/2026 BANK ACTUAL 500 QUESTIONS WITH
DETAILED ANSWERS WITH STUDY GUIDE EXPERT VERIFIED
FOR GUARANTEED PASS/ALREADY GRADED A+
A whole life policy that provides a choice of dividend options include
the following statement about dividends
they accrue at a guaranteed rate
they are deferred for one year
they are not guaranteed
they are guaranteed after the first year - ANSWERS--they are not
guaranteed
When there is a named beneficiary on a life insurance policy, the
death benefits
1. are directed to a trustee if the insured has any outstanding debts
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2. are paid directly to the insured`s creditors, with any remaining
balance forwarded to the beneficiary
3. are paid directly to the beneficiary, minus any debt claims by the
insured`s creditors
4. are paid directly to the beneficiary without interference from the
insured`s creditors - ANSWERS--are paid directly to the beneficiary
without interference from the insured`s creditors
What determines how much an annuitant is paid for a variable
annuity
1. varies according to how many outstanding annuitant is paid for a
variable annuity
2. payments fluctuate as annuitant gets older
3. the market value variations of the securities backing it
4. varies according to the insurers investments in its general account
- ANSWERS--the market value variations of the securities backing it
a terminated employee has how many days upon termination to
convert group life insurance coverage to an individual policy
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10 days
15 days
30 days
31 days - ANSWERS--31 days
Rick owns a variable universal life insurance policy and chooses a
variable death benefit option. what will typically happen to the death
benefit as a result of this section
1. remain the same
2 decrease but never increase
3 increase but never decrease
4 fluctuate with changes in the cash amount - ANSWERS--fluctuate
with changes in the cash amount
the policy provision that permits an employee to change from group
life insurance to an individual policy is called
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1 assignment provision
2 conversion provision
3 certificate provision
4 modification provision - ANSWERS--conversion provision
when the deferred annuity is surrendered, who must sign the
authorization to do so
owner
annuitant and beneficiary
annuitant
all parties involved - ANSWERS--owner
Which of the following is NOT a valid contract exchange?
1. an annuity exchanged for a life insurance policy
2 an annuity exchanged for another annuity
ARIZONA LIFE AND HEALTH INSURANCE LICENSING EXAM 2
VERSIONS 2025/2026 BANK ACTUAL 500 QUESTIONS WITH
DETAILED ANSWERS WITH STUDY GUIDE EXPERT VERIFIED
FOR GUARANTEED PASS/ALREADY GRADED A+
A whole life policy that provides a choice of dividend options include
the following statement about dividends
they accrue at a guaranteed rate
they are deferred for one year
they are not guaranteed
they are guaranteed after the first year - ANSWERS--they are not
guaranteed
When there is a named beneficiary on a life insurance policy, the
death benefits
1. are directed to a trustee if the insured has any outstanding debts
,2|Page
2. are paid directly to the insured`s creditors, with any remaining
balance forwarded to the beneficiary
3. are paid directly to the beneficiary, minus any debt claims by the
insured`s creditors
4. are paid directly to the beneficiary without interference from the
insured`s creditors - ANSWERS--are paid directly to the beneficiary
without interference from the insured`s creditors
What determines how much an annuitant is paid for a variable
annuity
1. varies according to how many outstanding annuitant is paid for a
variable annuity
2. payments fluctuate as annuitant gets older
3. the market value variations of the securities backing it
4. varies according to the insurers investments in its general account
- ANSWERS--the market value variations of the securities backing it
a terminated employee has how many days upon termination to
convert group life insurance coverage to an individual policy
,3|Page
10 days
15 days
30 days
31 days - ANSWERS--31 days
Rick owns a variable universal life insurance policy and chooses a
variable death benefit option. what will typically happen to the death
benefit as a result of this section
1. remain the same
2 decrease but never increase
3 increase but never decrease
4 fluctuate with changes in the cash amount - ANSWERS--fluctuate
with changes in the cash amount
the policy provision that permits an employee to change from group
life insurance to an individual policy is called
, 4|Page
1 assignment provision
2 conversion provision
3 certificate provision
4 modification provision - ANSWERS--conversion provision
when the deferred annuity is surrendered, who must sign the
authorization to do so
owner
annuitant and beneficiary
annuitant
all parties involved - ANSWERS--owner
Which of the following is NOT a valid contract exchange?
1. an annuity exchanged for a life insurance policy
2 an annuity exchanged for another annuity
