FLA 0214 FINAL EXAM QUIZZES WITH ACTUAL
ANSWERS | GRADED A+ .
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? - correct Answers -This clause
provides the payment of proceeds to the insured's estate
Under a life insurance policy the ___ has the authority to name the beneficiary? - correct
Answers -owner
B recently died and was insured with a life insurance policy for over five years. During the
claims process, the insurer discovered that B had understated his age by 5 years at the time of
application. In this situation, the insurer will - correct Answers -Pay the amount that the premium
would have purchased at the correct age.
Which Unfair Trade Practice involves an agent suggesting that an insurance policy is like a share
of stock?
*Twisting
*Intimidation
*Misrepresentation
*Sliding - correct Answers -misrepresentation
L takes out a life insurance policy and dies 10 years later. During the claim process, the insurer
discovers that L had understated her age on the application. Under the Misstatement of Age
provision, the insurer will - correct Answers -adjust the death benefit to a reduced amount
W gave W's age as 50 when W purchased a Life policy. At the time of W's death seven years
later, the company discovered W's true age at issue had been 59. What would the normal
procedure be under the misstatement of age provision in regard to the payment of the death
1
, claim? - correct Answers -The proceeds would be reduced based on whatever the premium
would have been if purchased at age 59
The financial services commission may hold hearings - correct Answers -for any reason deemed
necessary
In Florida, which agency is responsible for the rehabilitation or liquidation of insurers? - correct
Answers -The Department of Financial Services
All of the following entries are classified under the four principles areas of Florida insurance law
EXCEPT - correct Answers -An agent's commission
All of the following are Nonforfeiture Options EXCEPT - correct Answers -Automatic Premium
Loan Option
Under federal tax laws, what is the tax treatment for an employer providing $50,000 of a
contributory group Term Life plan to all its eligible employees? - correct Answers -Portion of the
premiums paid for by the employer may be a tax deduction
What group term life feature permits an individual to depart from the group and continue to be
covered without providing evidence of insurability? - correct Answers -Conversion
A return of Premium life insurance policy is: - correct Answers -Whole life and Increasing term
Which of the following is the best description of 'insurer'? - correct Answers -Any person,
corporation, association or society that writes insurance contracts
How are Roth IRA distributions normally taxed? - correct Answers -Distributions are received
tax-free
What kind of policy either pays the face value upon the death of the insured or when the insured
reaches age 100? - correct Answers -Whole Life
2
ANSWERS | GRADED A+ .
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? - correct Answers -This clause
provides the payment of proceeds to the insured's estate
Under a life insurance policy the ___ has the authority to name the beneficiary? - correct
Answers -owner
B recently died and was insured with a life insurance policy for over five years. During the
claims process, the insurer discovered that B had understated his age by 5 years at the time of
application. In this situation, the insurer will - correct Answers -Pay the amount that the premium
would have purchased at the correct age.
Which Unfair Trade Practice involves an agent suggesting that an insurance policy is like a share
of stock?
*Twisting
*Intimidation
*Misrepresentation
*Sliding - correct Answers -misrepresentation
L takes out a life insurance policy and dies 10 years later. During the claim process, the insurer
discovers that L had understated her age on the application. Under the Misstatement of Age
provision, the insurer will - correct Answers -adjust the death benefit to a reduced amount
W gave W's age as 50 when W purchased a Life policy. At the time of W's death seven years
later, the company discovered W's true age at issue had been 59. What would the normal
procedure be under the misstatement of age provision in regard to the payment of the death
1
, claim? - correct Answers -The proceeds would be reduced based on whatever the premium
would have been if purchased at age 59
The financial services commission may hold hearings - correct Answers -for any reason deemed
necessary
In Florida, which agency is responsible for the rehabilitation or liquidation of insurers? - correct
Answers -The Department of Financial Services
All of the following entries are classified under the four principles areas of Florida insurance law
EXCEPT - correct Answers -An agent's commission
All of the following are Nonforfeiture Options EXCEPT - correct Answers -Automatic Premium
Loan Option
Under federal tax laws, what is the tax treatment for an employer providing $50,000 of a
contributory group Term Life plan to all its eligible employees? - correct Answers -Portion of the
premiums paid for by the employer may be a tax deduction
What group term life feature permits an individual to depart from the group and continue to be
covered without providing evidence of insurability? - correct Answers -Conversion
A return of Premium life insurance policy is: - correct Answers -Whole life and Increasing term
Which of the following is the best description of 'insurer'? - correct Answers -Any person,
corporation, association or society that writes insurance contracts
How are Roth IRA distributions normally taxed? - correct Answers -Distributions are received
tax-free
What kind of policy either pays the face value upon the death of the insured or when the insured
reaches age 100? - correct Answers -Whole Life
2
