LIFE INSURANCE EXAM ILLINOIS
COMPREHENSIVE TEST PAPER WITH
SOLVED QUESTIONS
◉ The premium for a Modified whole life policy is
higher than the typical whole life policy during the first few years
and then lower than typical for the remainder
lower than the typical whole life policy during the first few years
and then higher than typical for the remainder
normally graded over a period of 20 years
level for the first 5 years then decreases for the remainder of the
policy
Answer: lower than the typical whole life policy during the first
few years and then higher than typical for the remainder
◉ Krissa purchases a 10-year level term life insurance policy that
has a death benefit of $200,000. Which of these statements is
true?
The policy automatically converts to whole life after the 10-year
period
The face amount will remain constant and the premium will
increase over the 10-year period
The premium will remain constant and the face amount will
increase over the 10-year period
, The face amount and premium will remain constant over the 10-
year period
Answer: The face amount and premium will remain constant over
the 10-year period
◉ A policyowner may change two policy features on what type of
life insurance?
Modified Whole Life
Decreasing Term Life
Adjustable Life
Whole Life
Answer: Adjustable Life
◉ Which of the following are the premium payments for a
Universal life policy NOT used for?
Death benefits
Cash value
Loading costs
Separate account investments
Answer: Separate account investments
◉ A securities license is required for a life insurance producer to
sell
modified life insurance
Modified Endowment Contracts (MEC)
COMPREHENSIVE TEST PAPER WITH
SOLVED QUESTIONS
◉ The premium for a Modified whole life policy is
higher than the typical whole life policy during the first few years
and then lower than typical for the remainder
lower than the typical whole life policy during the first few years
and then higher than typical for the remainder
normally graded over a period of 20 years
level for the first 5 years then decreases for the remainder of the
policy
Answer: lower than the typical whole life policy during the first
few years and then higher than typical for the remainder
◉ Krissa purchases a 10-year level term life insurance policy that
has a death benefit of $200,000. Which of these statements is
true?
The policy automatically converts to whole life after the 10-year
period
The face amount will remain constant and the premium will
increase over the 10-year period
The premium will remain constant and the face amount will
increase over the 10-year period
, The face amount and premium will remain constant over the 10-
year period
Answer: The face amount and premium will remain constant over
the 10-year period
◉ A policyowner may change two policy features on what type of
life insurance?
Modified Whole Life
Decreasing Term Life
Adjustable Life
Whole Life
Answer: Adjustable Life
◉ Which of the following are the premium payments for a
Universal life policy NOT used for?
Death benefits
Cash value
Loading costs
Separate account investments
Answer: Separate account investments
◉ A securities license is required for a life insurance producer to
sell
modified life insurance
Modified Endowment Contracts (MEC)
