Life Insurance Exam Illinois Fully Solved Test Paper Graded A+

LIFE INSURANCE EXAM ILLINOIS FULLY SOLVED
TEST PAPER GRADED A+

◉ Applicant of proposed insured.
Answer: a person applying for insurance


◉ Beneficiary.
Answer: a person who receives the benefits of an insurance policy


◉ Broker.
Answer: an insurance producer who is not appointed by an
insurance company and who represents the client


◉ Death benefits.
Answer: the amount paid upon death of the insured in a life
insurance policy


◉ Estate.
Answer: a person's net worth


◉ Insurance policy.

,Answer: a contact between a policyowner (and/or insured) and an
insurance company which agrees to pay insured or the beneficiary
for loss caused by specific events.


◉ Insured.
Answer: a person covered by the insurance policy; may or may not
be the policyowner


◉ insurer (principal).
Answer: the company who issues an insurance policy


◉ Lapse.
Answer: policy termination due to nonpayment of premium


◉ Life insurance.
Answer: coverage on human lives


◉ Policyowner.
Answer: the person entitled to exercise the rights and privileges in
the policy


◉ Premium.

, Answer: the money paid to the insurance company for the insurance
policy


◉ Underwriting.
Answer: is the risk selection and classification process


◉ Attained age.
Answer: the insured's age at the time the policy is issued or renewed


◉ cash value.
Answer: a policy's saving element or living benefit


◉ Face amount.
Answer: the amount of benefits stated in the life insurance policy


◉ Fixed life insurance.
Answer: contracts that offer guaranteed minimum or fixed benefits


◉ Deferred.
Answer: withheld or postponed until a specified time or event in the
future