WFG 4 - 5 Exam Questions with 100% Correct Answers Latest
Graded A+
Question:
Quarterly premiums payment increase the annual cost of insurance because
Answer:
interest to the insurer is decreases while the administrative costs are increased
Question:
A policyowner is able to choose the frequency of premium payments through what policy feature?
Answer:
Premium mode
Question:
c is trying to determine whether to convert he convertible term life policy to whole life insurance
using her original age or attained age. What factor would affect her decision the most?
Answer:
the cost
Question:
Which of the following statements is CORRECT regarding the tax treatment of a lump-sum
payment paid to a life insurance policy's primary beneficiary?
Answer:
All proceeds are income tax free in the year they are received
Question:
Which of the following best describes a contingent beneficiary?
Answer:
a person designated by the insured to receive policy proceeds in the event that the primary
beneficiary dies before the insured.
Question:
, M purchased an Accidental Death and Dismemberment (AD&D) policy and named his son as
beneficiary. M has the right to change the beneficiary designation at anytime. What type of
beneficiary is his son?
Answer:
Revocable
Question:
P and Q are married and have three children. P is the primary beneficiary on Q's Accidental Death
and Dismemberment (AD&D) policy and Q's sister R is the contingent beneficiary. P, Q, and R are
involved in a car accident and Q and R are killed instantly. The Accidental Death benefits will be
paid to:
Answer:
P only
Question:
The Common Disaster clause provides that if both the insured and the sole named beneficiary were
to die in a common accident, which of the following is true?
Answer:
This clause provides the payment of proceeds to the insured's estate
Question:
A policyowner is allowed to pay premiums more than once a year under which provision?
Answer:
Mode of Premium
Question:
If the insured and primary beneficiary are both killed in the same accident and it cannot be
determined who died first, where are the death proceeds to be directed under the Uniform
Simultaneous Death Act?
Answer:
Insured's contingent beneficiary
Question:
A policyowner would like to change the beneficiary on a Life insurance policy and make the
change permanent. Which type of designation would fulfill this need?
Graded A+
Question:
Quarterly premiums payment increase the annual cost of insurance because
Answer:
interest to the insurer is decreases while the administrative costs are increased
Question:
A policyowner is able to choose the frequency of premium payments through what policy feature?
Answer:
Premium mode
Question:
c is trying to determine whether to convert he convertible term life policy to whole life insurance
using her original age or attained age. What factor would affect her decision the most?
Answer:
the cost
Question:
Which of the following statements is CORRECT regarding the tax treatment of a lump-sum
payment paid to a life insurance policy's primary beneficiary?
Answer:
All proceeds are income tax free in the year they are received
Question:
Which of the following best describes a contingent beneficiary?
Answer:
a person designated by the insured to receive policy proceeds in the event that the primary
beneficiary dies before the insured.
Question:
, M purchased an Accidental Death and Dismemberment (AD&D) policy and named his son as
beneficiary. M has the right to change the beneficiary designation at anytime. What type of
beneficiary is his son?
Answer:
Revocable
Question:
P and Q are married and have three children. P is the primary beneficiary on Q's Accidental Death
and Dismemberment (AD&D) policy and Q's sister R is the contingent beneficiary. P, Q, and R are
involved in a car accident and Q and R are killed instantly. The Accidental Death benefits will be
paid to:
Answer:
P only
Question:
The Common Disaster clause provides that if both the insured and the sole named beneficiary were
to die in a common accident, which of the following is true?
Answer:
This clause provides the payment of proceeds to the insured's estate
Question:
A policyowner is allowed to pay premiums more than once a year under which provision?
Answer:
Mode of Premium
Question:
If the insured and primary beneficiary are both killed in the same accident and it cannot be
determined who died first, where are the death proceeds to be directed under the Uniform
Simultaneous Death Act?
Answer:
Insured's contingent beneficiary
Question:
A policyowner would like to change the beneficiary on a Life insurance policy and make the
change permanent. Which type of designation would fulfill this need?
