XCEL Solutions Life Insurance Final Exam Questions and Verified Answers Graded A+
2026/27
When is the face amount of a Whole Life policy paid? - When the insured dies or at the
policy's maturity date, whichever happens first
An IRA owner can start making withdrawals and NOT be subjected to a tax penalty beginning at
what age? - 59 1/2
In an insurance contract, the insurer is the only party who makes a legally enforceable promise.
What kind of contract is this? - Unilateral
Colorado's replacement rules apply to all of the following types of insurance EXCEPT -
Single premium whole life
What type of life policy covers two people and pays upon the death of the last insured? -
Survivorship
C is a key employee at ABC Incorporated. If a Key Employee life policy is purchased on her life,
which of these statements would be true? - ABC is the policy owner, C is the insured, and
ABC is the beneficiary
A policyowner is able to choose the frequency of premium payments through what policy
feature? - Premium Mode
,Which of the following are Equity Indexed annuities typically invested in? - S&P 500
An insurer that terminates a producer's appointment must inform the Commissioner within how
many days? - 30
When does a Guaranteed Insurability Rider allow the insured to buy additional coverage? -
At future dates specified in the contract with no evidence of insurability required
Which of these types of policies may NOT have the Automatic Premium Loan provision attached
to it? - Decreasing Term
When recommending the purchase or exchange of an annuity, a producer must determine the
suitability of the purchase by performing all of the following EXCEPT - Determining the
marital status of the applicant
A producer license may be suspended or revoked if the producer is found to be engaging in -
Misrepresentation
Which of these is an element of a Single Premium annuity? - Lump-sum payment
The commissioner may issue an emergency cease and desist order without a hearing for all of the
following circumstances EXCEPT - Writing controlled business
, The combination of Whole Life and _____ Term Insurance is referred to as a Family Income
Policy - Decreasing
Who is NOT required to sign a life insurance application? - Beneficiary
Which type of life policy contains a monthly mortality charge as well as self-directed investment
choices? - Variable Universal Life
Typically a life insurance death benefit is paid by a lump-sum payment. A(n) __________ option
is a method of distributing a Life Insurance policy's death benefit OTHER than by a lump sum
payment. - Settlement
A(n) ______ beneficiary may be changed by the policyowner WITHOUT the consent of the
beneficiary - Revocable
Which of the following is an example of a misrepresentation? - Describing a universal life
policy as a security
Before a life insurance policy is issued, which of these components of the contract is required? -
A signed application by the prospect
J is 35-years old and looking to purchase a whole life insurance policy. Which of the following
types of policies will provide the most rapid growth of cash value? - 20-pay Life
2026/27
When is the face amount of a Whole Life policy paid? - When the insured dies or at the
policy's maturity date, whichever happens first
An IRA owner can start making withdrawals and NOT be subjected to a tax penalty beginning at
what age? - 59 1/2
In an insurance contract, the insurer is the only party who makes a legally enforceable promise.
What kind of contract is this? - Unilateral
Colorado's replacement rules apply to all of the following types of insurance EXCEPT -
Single premium whole life
What type of life policy covers two people and pays upon the death of the last insured? -
Survivorship
C is a key employee at ABC Incorporated. If a Key Employee life policy is purchased on her life,
which of these statements would be true? - ABC is the policy owner, C is the insured, and
ABC is the beneficiary
A policyowner is able to choose the frequency of premium payments through what policy
feature? - Premium Mode
,Which of the following are Equity Indexed annuities typically invested in? - S&P 500
An insurer that terminates a producer's appointment must inform the Commissioner within how
many days? - 30
When does a Guaranteed Insurability Rider allow the insured to buy additional coverage? -
At future dates specified in the contract with no evidence of insurability required
Which of these types of policies may NOT have the Automatic Premium Loan provision attached
to it? - Decreasing Term
When recommending the purchase or exchange of an annuity, a producer must determine the
suitability of the purchase by performing all of the following EXCEPT - Determining the
marital status of the applicant
A producer license may be suspended or revoked if the producer is found to be engaging in -
Misrepresentation
Which of these is an element of a Single Premium annuity? - Lump-sum payment
The commissioner may issue an emergency cease and desist order without a hearing for all of the
following circumstances EXCEPT - Writing controlled business
, The combination of Whole Life and _____ Term Insurance is referred to as a Family Income
Policy - Decreasing
Who is NOT required to sign a life insurance application? - Beneficiary
Which type of life policy contains a monthly mortality charge as well as self-directed investment
choices? - Variable Universal Life
Typically a life insurance death benefit is paid by a lump-sum payment. A(n) __________ option
is a method of distributing a Life Insurance policy's death benefit OTHER than by a lump sum
payment. - Settlement
A(n) ______ beneficiary may be changed by the policyowner WITHOUT the consent of the
beneficiary - Revocable
Which of the following is an example of a misrepresentation? - Describing a universal life
policy as a security
Before a life insurance policy is issued, which of these components of the contract is required? -
A signed application by the prospect
J is 35-years old and looking to purchase a whole life insurance policy. Which of the following
types of policies will provide the most rapid growth of cash value? - 20-pay Life
