Primerica life insurance state exam Questions and Answers 100% correct

Primerica life insurance state exam Questions and Answers 100% correct Deferred Annuity An annuity in which the income payments begin sometime after one year from the date of red annuities can be funded with a single lump sum payment so it is referred to as a single premium differed annuities. Human life values approach Calculates an individual's life value by looking at the insureds future wages,inflation,the number of years to retirement,and the time value of money. What time must the producer present the applicant with a notice regarding replacement of life insurance Producers must present to the applicant a notice regarding replacement that is signed by both the applicant and the producer. A copy must be left with the applicant. Risk Is the uncertainty or chance of a loss occurring. MIB (medical information bureau MIB is a non profit trade organization which receives adverse medical information from insurance companies and maintains confidential medical impairment information on individuals Perjury If a person signs a fraudulent claim form,that person may be found guilty Universal life policy has two components: an insurance component and a cash account. The insurance component of a universal life policy is always annually renewable term insurance . The right to a full refund of premiums for insureds age 60 or older The right of recission for a full refund must last for at least 30 days The premium modes Is the frequency of premium payment. Concealment Is the withholding of information by the applicant that will result in an imprecise underwriting decision. may void the policy Tax sheltered annuity (tsa) Is a qualified plan available to employees of certain nonprofit organizations of the internal revenue code for example employees of public school systems. Intent of replacement regulations Are written to protect the consumers of California,not the insurance company or its producers. Reinstatement Provision allows a lapsed policy to be put back in force. The maximum time limit for reinstatement is usually 3 years after the policy has lapsed. Alien insurer An insurer incorporated in a foreign country. Mortality Means the rate of lilty tables used by insurers ,indicate the number of individuals within a specified group starting at a certain age. Group life insurance the group must be created for a purpose other than to obtain group insurance. Conditional receipt The applicant is covered by the insurance company as of the date of the application if the applicant is insurable at the classification for which the policy was applied. Law of large numbers states that the larger the number of people with a similar exposure to loss,the more predictable actual losses will be. Insolvent If an insurer's legal reserve funds are less than the minimum required by law, the company is impaired in its ability to pay claims Decreasing term coverage Is commonly purchased to insure the payment of a mortgage or other debts. Insurable interest In life insurance, must exist between the policy owner and the insured at the time of applications; however, once a life insurance policy has been issued, the insurer must pay the policy benefit, Whether or not exists.