Texas Life Insurance exam| Questions with 100 % Correct Answers | Verified

Texas Life Insurance exam Who is considered a field underwriter? - ✔✔An agent When must insurable interest exist in life insurance? - ✔✔Application or issue date If no receipt is issued at the time of application, a statement of good health is usually required at the time of? - ✔✔Policy delivery The Medical Information Bureau is?(MIB) - ✔✔a source of medical information to alert insurers to adverse medical history A substandard risk compared to a standard risk would pay? - ✔✔a higher premium Which do cument describes specific information about policy provisions and benefits? - ✔✔Policy summary Does not have an insurable interest? - ✔✔Insured's best friend What is the main source of underwriting information used by the company in the risk selection pr ocess? - ✔✔Application An insured submits the full premium along with a completed application, and the policy is issued 10 days later. When does the coverage begin? - ✔✔On the date of application What is the main responsibility of a company's underwriting unit? - ✔✔Risk selecti on and classification What best describes the USA PATRIOT Act with regards to the insurance industry? - ✔✔To prevent terrorism activities through monitoring of financial transactions If the agent feels that could misrepresentation on the part of the appl icant for insurance, what must the agent do? - ✔✔Inform the insurance comapny Representations are statements made by the applicant that are? - ✔✔Considered true to the best of the applicant's knowledge If an agent fails to obtain an applicants signature on the insurance application, the agent must? - ✔✔Return the application to the applicant for signature What includes information regarding a person's credit, character, reputation, and habits? - ✔✔Consumer report When the insured purchased a new home, h e wanted to purchase a life insurance policy that would protect his family against losing it should he die before the mortgage was paid. Which of the following policies is best suitable for that need? - ✔✔Decreasing term An annually renewable term policy? - ✔✔Renews each year with an increased premium The time period during which an annuitant contributes to annuity is called? - ✔✔The accumulation period An example of limited -pay life policy? - ✔✔Life paid -up at the age 65 An individual owns an adjustabl e life policy. Sometimes in the future he wants to increase the death benefit. What is correct regarding the death benefit increase? - ✔✔It can be increased by providing evidence of insurability What is true regarding a universal life policy? - ✔✔The prem iums can be decreased by the insured With a traditional whole life policy, the death benefit.. - ✔✔Remains constant over time