ARIZONA LIFE INSURANCE EXAM 2 AND FINAL
EXAM ARIZONA LIFE AND HEALTH 3 XCEL
2026 CERTIFICATION STUDY PACK WITH
SOLVED ANSWERS
◉ How can an insurance company minimize exposure to loss?
Risk concealing
Reinsuring risks
Reissuance
Risk assumption. Answer: Reinsuring risks
◉ What type of life insurance policy covers two or more persons and
pays the face amount upon the death of the first insured?
Joint and survivorship
Survivorship life
,Universal life
Joint life. Answer: joint life
◉ What happens to the cash value of a market value adjusted
annuity if it's surrendered prior to the end of the stated guarantee
period?
Subject to market value adjustment
Subject to no adjustments
Subject to a surrender charge only
Cash value is forfeited. Answer: Subject to market value adjustment
◉ What is the insurer responsible for when a producer is acting
within the scope of authority granted in the agency contract?
All actions by the producer
,Not responsible for any acts by the producer
Responsible for acts that involve misrepresentation only
Responsible for acts by the producer that are authority only.
Answer: Responsible for acts by the producer that are authority only
◉ A life insurance producer's underwriting duties may include
approving or declining a life insurance application
seeking additional information requested by the insurance company
ordering an MIB report
determining the rate classification of the applicant. Answer: seeking
additional information requested by the insurance company
◉ Which of these annuity contract features is meant to discourage
withdrawals and exchanges?
Annuitization
, Annual fees
Withdrawal penalty
Surrender charges. Answer: Surrender charges
◉ A Keogh plan is a(n)
unqualified retirement plan for large corporations
qualified retirement plan for the self employed
tax-exempt annuity for government workers
split dollar plan for key employees. Answer: qualified retirement
plan for the self employed
◉ A qualified profit-sharing plan is designed to
allow key employees to participate in the profits of the company
EXAM ARIZONA LIFE AND HEALTH 3 XCEL
2026 CERTIFICATION STUDY PACK WITH
SOLVED ANSWERS
◉ How can an insurance company minimize exposure to loss?
Risk concealing
Reinsuring risks
Reissuance
Risk assumption. Answer: Reinsuring risks
◉ What type of life insurance policy covers two or more persons and
pays the face amount upon the death of the first insured?
Joint and survivorship
Survivorship life
,Universal life
Joint life. Answer: joint life
◉ What happens to the cash value of a market value adjusted
annuity if it's surrendered prior to the end of the stated guarantee
period?
Subject to market value adjustment
Subject to no adjustments
Subject to a surrender charge only
Cash value is forfeited. Answer: Subject to market value adjustment
◉ What is the insurer responsible for when a producer is acting
within the scope of authority granted in the agency contract?
All actions by the producer
,Not responsible for any acts by the producer
Responsible for acts that involve misrepresentation only
Responsible for acts by the producer that are authority only.
Answer: Responsible for acts by the producer that are authority only
◉ A life insurance producer's underwriting duties may include
approving or declining a life insurance application
seeking additional information requested by the insurance company
ordering an MIB report
determining the rate classification of the applicant. Answer: seeking
additional information requested by the insurance company
◉ Which of these annuity contract features is meant to discourage
withdrawals and exchanges?
Annuitization
, Annual fees
Withdrawal penalty
Surrender charges. Answer: Surrender charges
◉ A Keogh plan is a(n)
unqualified retirement plan for large corporations
qualified retirement plan for the self employed
tax-exempt annuity for government workers
split dollar plan for key employees. Answer: qualified retirement
plan for the self employed
◉ A qualified profit-sharing plan is designed to
allow key employees to participate in the profits of the company
