Primerica Life Insurance Test Exam | 2023/ 2024 (Questions and Verified Answers ) 100% Correct

Primerica Life Insurance Test Exam | 2023/ 2024 (Questions and Verified Answers with Rationales) 100% Correct 1. The reduction of premium option uses the dividend to reduce ~ Answer: Next year's premium 2. In a non contributory group policy ~ Answer: 100% of eligible employees must participate 3. A representation in an insurance contract qualifies as a ~ Answer: Implied warranty 4. Which of the following is NOT true of the agents implied authority ~ Answer: It is specifically stated in the contract 5. When a whole life policy is surrendered for it's non forfeiture value, what is the automatic option ~ Answer: Extended term 6. Which provision may be added to a permanent life policy, at no cost, that insures that the policy will not lapse so long as there is cash value ~ Answer: Automatic Premium Loan Option 7. In a replacement situation all of the following are prohibited practices EXCEPT ~ Answer: Borrowing 50% of a policy's cash value to fund a new life insurance contract 8. Variable insurance and variable annuities are regulated by ~ Answer: SEC, FINRA and Departments of Insurance is 9. If the annuitant dies before the annuity start date, which of the following are true ~ Answer: The interest is taxable 10. All other factors being equal, which of the following premium modes would result in the lowest overall premium ~ Answer: Annual 11. Which statements best describe agreement as it relates to insurance contracts ~ Answer: One party accepts the exact terms of the other party's offer 12. A loss recruiting from which of the following would qualify for the accidental death rider coverage?