Pearson Vue Insurance Practice Exam/ 56
Q&A/ Already Graded A+
The right to change a beneficiary designation is reserved for the: - Answer:
Policyowner
Which of the following provisions in a life policy specifies the manner in which
proceeds will be paid to a beneficiary on the death of the insured? - Answer:
Settlement options
Two business partners own life insurance on each other. If one partner dies, which
of the following contracts will allow the other partner to buy 100 percent of the
business interest? - Answer: buy-sell agreement
Page 1 of 10
, The waiver of premium provision of a life policy allows the insurer to take which of
the following actions? - Answer: waive an insured's premiums if the insured
becomes totally disabled before a certian age
Under the social security retirement benefits, all of the following factors will
influence how much a retiring individual will receive as a monthly income benefit
except the individual's - Answer: Sex
In life insurance, insurance interest must exist at the time the - Answer: Producer
writes an application on a proposed insured
Which of the following statements is NOT correct about representations? -
Answer: They are true in every respect
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? - Answer:
The insured's signed statement of continued good health
Which of the following retirement plans is tax-qualified? - Answer: Defined
contribution
Which of the following statements is correct about the paid-up additions in a
participating whole life policy? - Answer: They are purchased on an attained age
basis
Page 2 of 10
Q&A/ Already Graded A+
The right to change a beneficiary designation is reserved for the: - Answer:
Policyowner
Which of the following provisions in a life policy specifies the manner in which
proceeds will be paid to a beneficiary on the death of the insured? - Answer:
Settlement options
Two business partners own life insurance on each other. If one partner dies, which
of the following contracts will allow the other partner to buy 100 percent of the
business interest? - Answer: buy-sell agreement
Page 1 of 10
, The waiver of premium provision of a life policy allows the insurer to take which of
the following actions? - Answer: waive an insured's premiums if the insured
becomes totally disabled before a certian age
Under the social security retirement benefits, all of the following factors will
influence how much a retiring individual will receive as a monthly income benefit
except the individual's - Answer: Sex
In life insurance, insurance interest must exist at the time the - Answer: Producer
writes an application on a proposed insured
Which of the following statements is NOT correct about representations? -
Answer: They are true in every respect
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? - Answer:
The insured's signed statement of continued good health
Which of the following retirement plans is tax-qualified? - Answer: Defined
contribution
Which of the following statements is correct about the paid-up additions in a
participating whole life policy? - Answer: They are purchased on an attained age
basis
Page 2 of 10
