Ohio Life Insurance Final Exam Prep Questions And Answers (202472025)
Which of the following is usually the owner of the annuity? - ✔✔The annuitant
Which of the following is not true of the straight life income option for annuities? - ✔✔A
beneficiary will receive any balance of the annuity upon the annuitant's death.
When an insurance policy is taken out, if the owner of the policy is someone other than the actual
insured, the owner must be able to prove: - ✔✔That he/she has an insurable interest
Tax-sheltered annuities (TSA) provide retirement income for employees who work for: - ✔✔A
nonprofit organization
Which of the following statements regarding policy loans from personal life insurance policies is
not true? - ✔✔When a personal life insurance policy endows, the amount of any unpaid loan plus
interest is not deducted from the policy proceeds.
When the only logical beneficiary is a minor, all of the following options are available, EXCEPT:
- ✔✔The benefits can go directly to the estate of the insured
All of the following are major factors in the determination of premiums for life insurance,
EXCEPT: - ✔✔Marital status
Which of the following is true about policy loans? - ✔✔They are subject to interest.
What requires that an individual have a valid concern for the continuation of the life or well being
of the person insured? - ✔✔Insurable interest
Which of the following is true regarding taxes on nonqualified annuities? - ✔✔Premiums are not
tax-deductible, but interest is tax-deferred
, What is the time between when an annuity is purchased and the time when benefits begin? -
✔✔The accumulation period
All of the statements are true about universal life policies, EXCEPT: - ✔✔Universal life policies
are only subject to the interest rates stated in the contract.
Universal life policies allow the policyowner to: - ✔✔a. Take out a policy loan
b. Withdraw cash
(Both)
All of the following are federal income tax free transactions for a life insurance policy, EXCEPT:
- ✔✔Gain on policy surrender value
Which of the following pertains to Modified Endowment Contracts (MECs)? - ✔✔a. Once a MEC,
always a MEC.
b. Funds withdrawn are subject to LIFO (Last in first out) tax treatment.
c. Any policy exchanged for an MEC is automatically classified as an MEC.
(all)
Which of the following is not an assignment whereby someone would transfer legal rights as the
policyowner of a life contract? - ✔✔Total, complete, unconditional assignment
Which of the following statements is not true about a retirement income annuity? - ✔✔It is an
ordinary immediate annuity.
All of the following statements are true about an annuity certain, EXCEPT: - ✔✔If the annuitant
dies, the payments cease.
Which of the following is usually the owner of the annuity? - ✔✔The annuitant
Which of the following is not true of the straight life income option for annuities? - ✔✔A
beneficiary will receive any balance of the annuity upon the annuitant's death.
When an insurance policy is taken out, if the owner of the policy is someone other than the actual
insured, the owner must be able to prove: - ✔✔That he/she has an insurable interest
Tax-sheltered annuities (TSA) provide retirement income for employees who work for: - ✔✔A
nonprofit organization
Which of the following statements regarding policy loans from personal life insurance policies is
not true? - ✔✔When a personal life insurance policy endows, the amount of any unpaid loan plus
interest is not deducted from the policy proceeds.
When the only logical beneficiary is a minor, all of the following options are available, EXCEPT:
- ✔✔The benefits can go directly to the estate of the insured
All of the following are major factors in the determination of premiums for life insurance,
EXCEPT: - ✔✔Marital status
Which of the following is true about policy loans? - ✔✔They are subject to interest.
What requires that an individual have a valid concern for the continuation of the life or well being
of the person insured? - ✔✔Insurable interest
Which of the following is true regarding taxes on nonqualified annuities? - ✔✔Premiums are not
tax-deductible, but interest is tax-deferred
, What is the time between when an annuity is purchased and the time when benefits begin? -
✔✔The accumulation period
All of the statements are true about universal life policies, EXCEPT: - ✔✔Universal life policies
are only subject to the interest rates stated in the contract.
Universal life policies allow the policyowner to: - ✔✔a. Take out a policy loan
b. Withdraw cash
(Both)
All of the following are federal income tax free transactions for a life insurance policy, EXCEPT:
- ✔✔Gain on policy surrender value
Which of the following pertains to Modified Endowment Contracts (MECs)? - ✔✔a. Once a MEC,
always a MEC.
b. Funds withdrawn are subject to LIFO (Last in first out) tax treatment.
c. Any policy exchanged for an MEC is automatically classified as an MEC.
(all)
Which of the following is not an assignment whereby someone would transfer legal rights as the
policyowner of a life contract? - ✔✔Total, complete, unconditional assignment
Which of the following statements is not true about a retirement income annuity? - ✔✔It is an
ordinary immediate annuity.
All of the following statements are true about an annuity certain, EXCEPT: - ✔✔If the annuitant
dies, the payments cease.
