LA Life Insurance Series 101 Exam (New
2026/ 2027 Update) Questions & Answers
{Grade A} 100% Correct (Verified
Solutions)
In a Viatical Settlement a third party purchases a policy from a terminally ill insured
for approximately _______ to _______% of the policy's face amount. - Correct answer
60/80
With regard to delivery receipt requirements, which of the following is TRUE? - Correct
answer Upon policy delivery, a producer must get the policyholders signed receipt
acknowledging delivery.
All of the following are correct regarding Key Employee Life Insurance, EXCEPT: -
Correct answer Premiums are deducted from the employees salary.
Which of the following personal uses of Life Insurance is specifically designed to
provide benefits to the policyowner while the insured is still alive? - Correct answer
Cash Accumlation
,With regard to termination and renewal of a license, Which of the following is FALSE? -
Correct answer A business entity producers license expires April 30 of each even-
numbered year.
Which of the following death benefit settlement options pays out a benefit that is 100%
income tax-free to the recipient? - Correct answer Lump Sum
Warren and Wilma have a joint life policy. Warren dies and the policy pays nothing.
Later on, Wilma dies and the policy death benefits is paid to the beneficiary. This is
called a : - Correct answer Survivorship or second-to-die policy
Which of the following Annuities is known for having the highest surrender charge
percentages and the longest surrender charge time periods? - Correct answer Indexed
Annuities
If an insured has a Life Paid Up at 75 policy, What would the beneficiary receive if the
insured died @ age 68? - Correct answer The Face Amount
, The mortality rate is based on mortality tables which show life expectancy and the
death rate per________ people living in the US. - Correct answer 1000
B's policy had a 1000 annual premium. B has not paid it for 2 years and wants to put the
policy back in force. The insurer charges 10% interest on overdue premiums. How
much will B have to pay to have coverage once again? - Correct answer 2200.00
Ordinarily, who would not be the owner of a Juvenile policy from the outset? - Correct
answer A brother or sister
When the Life Insurance Policy's cash value equals the face amount of the policy and
the proceeds are paid to the policyowner, this is known as the policy's ___________. -
Correct answer Endowment
What is the only way an Annuity can pay out income tax free benefit payments? -
Correct answer Fund a Roth IRA and make a qualified distribution.
2026/ 2027 Update) Questions & Answers
{Grade A} 100% Correct (Verified
Solutions)
In a Viatical Settlement a third party purchases a policy from a terminally ill insured
for approximately _______ to _______% of the policy's face amount. - Correct answer
60/80
With regard to delivery receipt requirements, which of the following is TRUE? - Correct
answer Upon policy delivery, a producer must get the policyholders signed receipt
acknowledging delivery.
All of the following are correct regarding Key Employee Life Insurance, EXCEPT: -
Correct answer Premiums are deducted from the employees salary.
Which of the following personal uses of Life Insurance is specifically designed to
provide benefits to the policyowner while the insured is still alive? - Correct answer
Cash Accumlation
,With regard to termination and renewal of a license, Which of the following is FALSE? -
Correct answer A business entity producers license expires April 30 of each even-
numbered year.
Which of the following death benefit settlement options pays out a benefit that is 100%
income tax-free to the recipient? - Correct answer Lump Sum
Warren and Wilma have a joint life policy. Warren dies and the policy pays nothing.
Later on, Wilma dies and the policy death benefits is paid to the beneficiary. This is
called a : - Correct answer Survivorship or second-to-die policy
Which of the following Annuities is known for having the highest surrender charge
percentages and the longest surrender charge time periods? - Correct answer Indexed
Annuities
If an insured has a Life Paid Up at 75 policy, What would the beneficiary receive if the
insured died @ age 68? - Correct answer The Face Amount
, The mortality rate is based on mortality tables which show life expectancy and the
death rate per________ people living in the US. - Correct answer 1000
B's policy had a 1000 annual premium. B has not paid it for 2 years and wants to put the
policy back in force. The insurer charges 10% interest on overdue premiums. How
much will B have to pay to have coverage once again? - Correct answer 2200.00
Ordinarily, who would not be the owner of a Juvenile policy from the outset? - Correct
answer A brother or sister
When the Life Insurance Policy's cash value equals the face amount of the policy and
the proceeds are paid to the policyowner, this is known as the policy's ___________. -
Correct answer Endowment
What is the only way an Annuity can pay out income tax free benefit payments? -
Correct answer Fund a Roth IRA and make a qualified distribution.
