©SOPHIABENNETT@2024-2025 Monday, August 26, 2024 6:09 AM
Xcell Testing Solutions (Life & Health)
Final 150 Question Practice Exam
Questions and Answers
When can a policy owner change a revocable beneficiary? - Answer✔️✔️-
Anytime
M purchased an Accidental Death and Dismemberment (AD&D) policy
and named his son as beneficiary. M has the right to change the beneficiary
designation at anytime. What type of beneficiary is his son? - Answer✔️✔️-
Revocable
How would a contingent beneficiary receive the policy proceeds in an
Accidental Death and Dismemberment (AD&D) policy? - Answer✔️✔️-If the
primary beneficiary dies before the insured
What is the underlying concept regarding level premiums? - Answer✔️✔️-
The early years are charged less than what is needed
A policy owner is able to choose the frequency of premium payments
through what policy feature? - Answer✔️✔️-Premium Mode
Any changes made on an insurance application requires the initials of
whom? - Answer✔️✔️-Applicant
All of these are considered sources of underwriting information about an
applicant EXCEPT - Answer✔️✔️-Rating Services
1
, ©SOPHIABENNETT@2024-2025 Monday, August 26, 2024 6:09 AM
Q applied for life insurance and submitted the initial premium on January
1. The policy was issued February 1, but it was not delivered by the agent
until February 7. Q is dissatisfied and returns the policy February 13. How
will the insurer handle this situation? - Answer✔️✔️-Policy was returned
within the free-look period, premium will be fully refunded
M completes an application for life insurance but does not pay the initial
premium. All of these actions must occur before M's policy goes into effect
EXCEPT - Answer✔️✔️-free-look period has expired
What action should a producer take if the initial premium is NOT
submitted with the application? - Answer✔️✔️-Forward the application to
the insurer without the initial premium
Which of the following is an important underwriting principle of group life
insurance? - Answer✔️✔️-Everyone must be covered in the group
Which requirement must be met for an association to be eligible for a group
life plan? - Answer✔️✔️-Group was formed for a purpose other than
acquiring insurance
When an employee is terminated, which statement about a group term life
conversion is true? - Answer✔️✔️-Policy proceeds will be paid if the
employee dies during the conversion period
Under a trustee group life policy, who would be eligible for a certificate of
coverage? - Answer✔️✔️-Corporation
2
, ©SOPHIABENNETT@2024-2025 Monday, August 26, 2024 6:09 AM
N, age 50, recently bought an annuity that will pay a guaranteed
$2,000/month at age 70 for life. What type of annuity did N purchase? -
Answer✔️✔️-Fixed Deferred
S recently received a $500,000 lump sum retirement buyout from her
employer. She would like to buy an annuity that will immediately furnish
her with a guaranteed income for life. What type of annuity is best suited
for her situation? - Answer✔️✔️-Single Premium
Which of these is an element of a Single Premium annuity? - Answer✔️✔️-
Lump-sum payment
Which of these statements concerning an Individual Straight Life annuity is
accurate? - Answer✔️✔️-Payments are made to an annuitant for life
An individual who purchases a Life annuity is given protection against -
Answer✔️✔️-the risk of living longer than expected
An immediate annuity consists of a - Answer✔️✔️-single premium
All of these are considered to be a benefit under Social Security EXCEPT
for - Answer✔️✔️-unemployment
Which product would best serve a retired individual looking to invest a
lump-sum of money through an insurance company? - Answer✔️✔️-
Annuity
3
Xcell Testing Solutions (Life & Health)
Final 150 Question Practice Exam
Questions and Answers
When can a policy owner change a revocable beneficiary? - Answer✔️✔️-
Anytime
M purchased an Accidental Death and Dismemberment (AD&D) policy
and named his son as beneficiary. M has the right to change the beneficiary
designation at anytime. What type of beneficiary is his son? - Answer✔️✔️-
Revocable
How would a contingent beneficiary receive the policy proceeds in an
Accidental Death and Dismemberment (AD&D) policy? - Answer✔️✔️-If the
primary beneficiary dies before the insured
What is the underlying concept regarding level premiums? - Answer✔️✔️-
The early years are charged less than what is needed
A policy owner is able to choose the frequency of premium payments
through what policy feature? - Answer✔️✔️-Premium Mode
Any changes made on an insurance application requires the initials of
whom? - Answer✔️✔️-Applicant
All of these are considered sources of underwriting information about an
applicant EXCEPT - Answer✔️✔️-Rating Services
1
, ©SOPHIABENNETT@2024-2025 Monday, August 26, 2024 6:09 AM
Q applied for life insurance and submitted the initial premium on January
1. The policy was issued February 1, but it was not delivered by the agent
until February 7. Q is dissatisfied and returns the policy February 13. How
will the insurer handle this situation? - Answer✔️✔️-Policy was returned
within the free-look period, premium will be fully refunded
M completes an application for life insurance but does not pay the initial
premium. All of these actions must occur before M's policy goes into effect
EXCEPT - Answer✔️✔️-free-look period has expired
What action should a producer take if the initial premium is NOT
submitted with the application? - Answer✔️✔️-Forward the application to
the insurer without the initial premium
Which of the following is an important underwriting principle of group life
insurance? - Answer✔️✔️-Everyone must be covered in the group
Which requirement must be met for an association to be eligible for a group
life plan? - Answer✔️✔️-Group was formed for a purpose other than
acquiring insurance
When an employee is terminated, which statement about a group term life
conversion is true? - Answer✔️✔️-Policy proceeds will be paid if the
employee dies during the conversion period
Under a trustee group life policy, who would be eligible for a certificate of
coverage? - Answer✔️✔️-Corporation
2
, ©SOPHIABENNETT@2024-2025 Monday, August 26, 2024 6:09 AM
N, age 50, recently bought an annuity that will pay a guaranteed
$2,000/month at age 70 for life. What type of annuity did N purchase? -
Answer✔️✔️-Fixed Deferred
S recently received a $500,000 lump sum retirement buyout from her
employer. She would like to buy an annuity that will immediately furnish
her with a guaranteed income for life. What type of annuity is best suited
for her situation? - Answer✔️✔️-Single Premium
Which of these is an element of a Single Premium annuity? - Answer✔️✔️-
Lump-sum payment
Which of these statements concerning an Individual Straight Life annuity is
accurate? - Answer✔️✔️-Payments are made to an annuitant for life
An individual who purchases a Life annuity is given protection against -
Answer✔️✔️-the risk of living longer than expected
An immediate annuity consists of a - Answer✔️✔️-single premium
All of these are considered to be a benefit under Social Security EXCEPT
for - Answer✔️✔️-unemployment
Which product would best serve a retired individual looking to invest a
lump-sum of money through an insurance company? - Answer✔️✔️-
Annuity
3
