South Carolina life insurance exam study set Questions and Answers 2024 Verified

South Carolina life insurance exam study set Questions and Answers 2024 Verified An insurer will accept a premium from the insured and continue theicoverage in full force as though it was NOT late during which time period? Incontestable period Probation period Reinstatement period Grace period - CORRECT ANSWER-Grace period A person who is a nonsmoker, of average weight, and in excellent health would most likely be in which risk classification? Standard Substandard Acceptable Preferred - CORRECT ANSWER-Preferred Which of these is affected by the frequency of an insurance policy's premium payments? Settlement options Cash value Death benefit Cost - CORRECT ANSWER-Cost A Buyer's Guide MUST display year-by-year cash surrender values @ have it's content approved by the Director include the name of the Director explain the company's specific underwriting procedures - CORRECT ANSWER-Have its content approved by the director A life insurance claim which involves a per capita distribution of policy proceeds would be payable to the A. Estate of the insured only B. Estate of the deceased beneficiaries only C. Named contingent beneficiary only D. Named living primary beneficiaries - CORRECT ANSWER-Named primary beneficiaries A provision that allows a policyowner to temporarily give up ownership rights to secure a loan is called A. Automatic premium lion B. Nonforfeiture option C. Collateral assignment D. Irrevocable assignment - CORRECT ANSWER-Collateral assignment A limited payment whole life policy provides A. Protection for 20 years B. Lifetime protection C. Protection for more than one person D. Discounted premiums - CORRECT ANSWER-Lifetime protection When does a life insurance policy typically become effective? A. When the policy is issued B. When initial premium is collected and policy is issued C. When the application is completed and signed D. When the completed application is signed and initial premium is collected - CORRECT ANSWER-When initial premium is collected and policy is issued What makes an insurance policy a unilateral contract? Only the insured pays the premium Only the insured can change the provisions Only the insurer is legally bound Only the insured is legally bound - CORRECT ANSWER-Only the insurer is legally bound A whole life policy option where extended term insurance is selected is called a(n) dividend option Settlement option Nonforfeiture option Interest-only option - CORRECT ANSWER-Nonforfeiture option An annuity is primarily used to provide retirement income disability income long-term care benefits death benefits - CORRECT ANSWER-retirement income In what part of an insurance policy are policy benefits found? Declarations Entire contract Waivers Conditions - CORRECT ANSWER-Declarations Which of the following is an example of the insured's consideration? Insurer's promise to pay benefits A paid premium Legal purpose Intent - CORRECT ANSWER-A paid premiu