MD LIFE FINAL EXAM QUESTIONS AND ANSWERS 100% PASS

MD LIFE FINAL EXAM QUESTIONS AND ANSWERS 100% PASS All of the following actions are considered rebating EXCEPT 1. sharing commissions with other licensed and appointed agents ding part of the premium as an inducement for purchase ing special dividends 4. offering anything of value not specified in the policy 1. sharing commissions with other licensed and appointed agents Peter has a policy where 80% to 90% of the premium is invested in traditional fixed income securities and the remainder of the premium is invested in contracts tied to a stipulated stock index. What kind of policy is this? 1. Modified Endowment Contract 2. Current assumptive whole life 3.Credit life insurance 4. Equity index whole life 4."Equity index whole life". The type of policy where 80% to 90% of the premium is invested in traditional fixed income securities and the remainder of the premium is invested in contracts tied to a stipulated stock index is equity index whole life. A tax-free Section 1035 Exchange of a life insurance policy to a different policy is permitted if it occurs 1. in the same state as the original transaction 2. within a 12 month period 3. from insurer to insurer and no cash is received by the policyowner 4. from agent to agent as long as the agents are licensed in the same line 3. from insurer to insurer and no cash is received by the policyowner *The Internal Revenue Code (IRC) enables a tax-free Section 1035 Exchange of a life insurance policy to a different policy if it occurs from insurer to insurer and the policyowner does not receive any cash. According to life insurance contract law, insurable interest exists any business relationship exists 2. at the time of application 3. at the time of death 4. only when determined by a judge the time of application *According to life insurance in contract law, a person most likely will have an insurable interest in insuring a person's life if at the time of application An example of replacement is ling disability policy to buy a term life policy 2. canceling a term life policy to buy a whole life policy 3. canceling a long-term care policy to buy a whole life policy 4. canceling a whole life policy to buy a major medical policy ling a term life policy to buy a whole life policy When must a claim on a life insurance policy be paid after proof of loss has been received by the insurer? 1. Promptly 2.Within 10 days 3. Within 20 days 4. Within 30 days 1. Promptly Variable life insurance and Universal