Virginia Life Insurance Exam Questions and Answers Already Passed

Virginia Life Insurance Exam Questions and Answers Already Passed All of the following entities regulate variable life policies EXCEPT a)The Insurance Department. b)The Guaranty Association. c)Federal government. d)The SEC. b)The Guaranty Association. Which of the following is TRUE for both equity indexed annuities and fixed annuities? a)They have a guaranteed minimum interest rate .b)They are both tied to an equity index. c)Both are considered to be more risky than variable annuities. d)They invest on a conservative basis. While equity indexed annuities earn higher interest rates than fixed annuities, both types of annuities guarantee a specific minimum interest rate. a)They have a guaranteed minimum interest rate. Which of the following best describes annually renewable term insurance? a)It is level term insurance. b)It requires proof of insurability at each renewal. c)Neither the premium nor the death benefit is affected by the insured's age. d)It provides an annually increasing death benefit. a)It is level term insurance. If a consumer requests additional information concerning an investigative consumer report, how long does the insurer or reporting agency have to comply? a)5 days b)7 days c)10 days d)3 days a)5 days Group life insurance is a single policy written to provide coverage to members of a group. Which of the following statements concerning group life is CORRECT? a)100% participation of members is required in noncontributory plans. b)Each member covered receives a policy. c)Coverage cannot be converted when an individual leaves the group. d)Premiums are determined by age, occupation, and individual underwriting. a)100% participation of members is required in noncontributory plans. Which of the following is correct concerning the taxation of premiums in a key-person life insurance policy? a)Premiums are taxable to the employee. b)Premiums are not tax deductible as a business expense. c)Premiums are tax deductible by the key employee. d)Premiums are tax deductible as a business expense. b)Premiums are not tax deductible as a business expense. In a life settlement contract, whom does the life settlement broker represent? a)The beneficiary b)The life settlement intermediary c)The owner