Florida Life Insurance Test
S buys $100,000 whole life policy in 2003 and pays an annual premium of $100. S dies five
years later in 2008 and the insured pays the beneficiary $10,500. What kind of writer did S
include on the policy? - ANSA Return of permium rider
All of these statements about the Waiver of Premium provision are correct EXCEPT -
ANSInsured must be eligible for Social Security disability for claim to be excepted
Which of these provisions require proof of insurability after a policy has lapsed? -
ANSReinstatement
S would like to use dividends from her life insurance policy to purchase paid-up additions. All of
these would be factors that determine how much coverage can be purchased EXCEPT -
ANSBeneficiary's age
What action can a policyholder take if an application for a bank loan requires collateral? -
ANSAssign policy ownership to the bank
How do life insurance companies handle cases where the insured commit suicide with in the
contract's stated Contestable period? - ANSClaims are denied under the Suicide clause of the
policy
P is blinded in an industrial accident. Which provision of his life insurance policy will pay a
stated benefit amount? - ANSAccidental Death and Dismemberment provision
B owns a Whole Life policy with a guaranteed insurability option that allows him to purchase,
without evidence of insurability, stated amounts of - ANSAdditional Whole Life coverage at
specified times
How are surrender charges deducted in a life policy with a rear-end loaded provision? -
ANSDeducted when the policy is discontinued
What does the ownership clause in a life insurance policy state? - ANSWho the policy owner is
and what rights the policy owner is entitled to
A life insurance policy which ensures that the premiums will be paid if the insured becomes
disabled has what kind of rider attached? - ANSWaiver of premium
A provision in a life insurance policy that pays the policyholder an amount that does not surpass
the guaranteed cash value is called the - ANSPolicy Loan provision
S buys $100,000 whole life policy in 2003 and pays an annual premium of $100. S dies five
years later in 2008 and the insured pays the beneficiary $10,500. What kind of writer did S
include on the policy? - ANSA Return of permium rider
All of these statements about the Waiver of Premium provision are correct EXCEPT -
ANSInsured must be eligible for Social Security disability for claim to be excepted
Which of these provisions require proof of insurability after a policy has lapsed? -
ANSReinstatement
S would like to use dividends from her life insurance policy to purchase paid-up additions. All of
these would be factors that determine how much coverage can be purchased EXCEPT -
ANSBeneficiary's age
What action can a policyholder take if an application for a bank loan requires collateral? -
ANSAssign policy ownership to the bank
How do life insurance companies handle cases where the insured commit suicide with in the
contract's stated Contestable period? - ANSClaims are denied under the Suicide clause of the
policy
P is blinded in an industrial accident. Which provision of his life insurance policy will pay a
stated benefit amount? - ANSAccidental Death and Dismemberment provision
B owns a Whole Life policy with a guaranteed insurability option that allows him to purchase,
without evidence of insurability, stated amounts of - ANSAdditional Whole Life coverage at
specified times
How are surrender charges deducted in a life policy with a rear-end loaded provision? -
ANSDeducted when the policy is discontinued
What does the ownership clause in a life insurance policy state? - ANSWho the policy owner is
and what rights the policy owner is entitled to
A life insurance policy which ensures that the premiums will be paid if the insured becomes
disabled has what kind of rider attached? - ANSWaiver of premium
A provision in a life insurance policy that pays the policyholder an amount that does not surpass
the guaranteed cash value is called the - ANSPolicy Loan provision
