California Life, Accident, and Health Insurance Final Exam
1. What distinguishes a deferred annuity from an immediate annuity
>>>> Thetime at which benefit payments start
2. Cindy buys a 10-year certain annuity with an installment refund.
After receiving monthly payments for 5 years, Cindy dies. How many
remainingpayments will the insurer make to her beneficiary
>>>> 60 payments
3. What is a common reason people purchase an annuity
>>>> To protect against the risk of outliving their financial resources
4. What kind of annuity pays income to two annuitants until their deaths
, >>>> -
Joint and survivor annuity
5. What is a joint and survivor annuity
>>>> Provides payments the annuity totwo people. If either person
dies, the same income payments continue to the
survivor for life. When the surviving annuitant dies, no further payments
are madeto anyone.
6. Victoria owns a life annuity and elects to receive annuity payments
month- ly for the remainder of her life with "ten years certain". Her
annuity will makepayments
: for a minimum of 120 months and a maximum of the remainder of herlife
7. Which of the following statements regarding a life insurance policy
divi- dend is TRUE
, >>>> It is the distribution of excess of funds accumulated by the insureron
participating policies.
8. An insured owned by its policyholders is called a
: mutual insurer
9. An insurer enters into a contract with a third party to insure itself
againstlosses from insurance policies it issues. What is the agreement
called
>>>> - Reinsurance
10. What is reinsurance
>>>> An arrangement by which an insurance companytransfers a
portion of a risk it has assumed to another insurer
11. Which of the following is NOT a characteristic of reinsurance
1. What distinguishes a deferred annuity from an immediate annuity
>>>> Thetime at which benefit payments start
2. Cindy buys a 10-year certain annuity with an installment refund.
After receiving monthly payments for 5 years, Cindy dies. How many
remainingpayments will the insurer make to her beneficiary
>>>> 60 payments
3. What is a common reason people purchase an annuity
>>>> To protect against the risk of outliving their financial resources
4. What kind of annuity pays income to two annuitants until their deaths
, >>>> -
Joint and survivor annuity
5. What is a joint and survivor annuity
>>>> Provides payments the annuity totwo people. If either person
dies, the same income payments continue to the
survivor for life. When the surviving annuitant dies, no further payments
are madeto anyone.
6. Victoria owns a life annuity and elects to receive annuity payments
month- ly for the remainder of her life with "ten years certain". Her
annuity will makepayments
: for a minimum of 120 months and a maximum of the remainder of herlife
7. Which of the following statements regarding a life insurance policy
divi- dend is TRUE
, >>>> It is the distribution of excess of funds accumulated by the insureron
participating policies.
8. An insured owned by its policyholders is called a
: mutual insurer
9. An insurer enters into a contract with a third party to insure itself
againstlosses from insurance policies it issues. What is the agreement
called
>>>> - Reinsurance
10. What is reinsurance
>>>> An arrangement by which an insurance companytransfers a
portion of a risk it has assumed to another insurer
11. Which of the following is NOT a characteristic of reinsurance
