Pearson Vue Life Insurance Practice Exam.pdf file:///C:/Users/HP/Desktop/NIW/Pearson%20Vue%20Life%20Insu
Pearson Vue Life Insurance Practice Exam
Questions & Answers
1. P wants to name her husband as the beneficiary of her life policy. However, she wishes
to retain all of the rights of ownership. P should have her husband named as the:
A. irrevocable beneficiary
B.revocable beneficiary
C.secondary beneficiary
ANS : B
2. A contract that has as its basic function the systematic liquidation of
accumulated assets through periodic payments is called an:
A.indemnity contract
B.investment contract
C.endowment D.annuity
ANS : D
1 of 29 8/20/2024, 1:06
,Pearson Vue Life Insurance Practice Exam.pdf file:///C:/Users/HP/Desktop/NIW/Pearson%20Vue%20Life%20Insu
3. An insurance producer takes an application for a life insurance policy but does not
collect the initial premium. On delivery of the policy to the proposed insured, the
producer must collect the initial premium and which of the following?
A.A copy of the MIB report
B.The insured's signed statement of continued good health
C.A copy of the conditional receipt
D.A copy of the temporary insurance agreement that covered the period between the
application date and the delivery date.
ANS : B
4. An employer can deduct premium payments as an ordinary business ex- pense for
which of the following life coverages?
A. Buy and Sell Agreements
B.Group
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,Pearson Vue Life Insurance Practice Exam.pdf file:///C:/Users/HP/Desktop/NIW/Pearson%20Vue%20Life%20Insu
C. Key Employee
D. Joint Life, if the business is named as the beneficiary
ANS : B
3 of 29 8/20/2024, 1:06
Pearson Vue Life Insurance Practice Exam
Questions & Answers
1. P wants to name her husband as the beneficiary of her life policy. However, she wishes
to retain all of the rights of ownership. P should have her husband named as the:
A. irrevocable beneficiary
B.revocable beneficiary
C.secondary beneficiary
ANS : B
2. A contract that has as its basic function the systematic liquidation of
accumulated assets through periodic payments is called an:
A.indemnity contract
B.investment contract
C.endowment D.annuity
ANS : D
1 of 29 8/20/2024, 1:06
,Pearson Vue Life Insurance Practice Exam.pdf file:///C:/Users/HP/Desktop/NIW/Pearson%20Vue%20Life%20Insu
3. An insurance producer takes an application for a life insurance policy but does not
collect the initial premium. On delivery of the policy to the proposed insured, the
producer must collect the initial premium and which of the following?
A.A copy of the MIB report
B.The insured's signed statement of continued good health
C.A copy of the conditional receipt
D.A copy of the temporary insurance agreement that covered the period between the
application date and the delivery date.
ANS : B
4. An employer can deduct premium payments as an ordinary business ex- pense for
which of the following life coverages?
A. Buy and Sell Agreements
B.Group
2 of 29 8/20/2024, 1:06
,Pearson Vue Life Insurance Practice Exam.pdf file:///C:/Users/HP/Desktop/NIW/Pearson%20Vue%20Life%20Insu
C. Key Employee
D. Joint Life, if the business is named as the beneficiary
ANS : B
3 of 29 8/20/2024, 1:06
