XCEL Solutions Life Insurance Final Exam
UPDATED Exam Questions and
CORRECT Answers
When is the face amount of a Whole Life policy paid? - CORRECT ANSWER - When the
insured dies or at the policy's maturity date, whichever happens first
An IRA owner can start making withdrawals and NOT be subjected to a tax penalty beginning at
what age? - CORRECT ANSWER - 59 1/2
In an insurance contract, the insurer is the only party who makes a legally enforceable promise.
What kind of contract is this? - CORRECT ANSWER - Unilateral
Colorado's replacement rules apply to all of the following types of insurance EXCEPT -
CORRECT ANSWER - Single premium whole life
What type of life policy covers two people and pays upon the death of the last insured? -
CORRECT ANSWER - Survivorship
C is a key employee at ABC Incorporated. If a Key Employee life policy is purchased on her life,
which of these statements would be true? - CORRECT ANSWER - ABC is the policy
owner, C is the insured, and ABC is the beneficiary
A policyowner is able to choose the frequency of premium payments through what policy
feature? - CORRECT ANSWER - Premium Mode
Which of the following are Equity Indexed annuities typically invested in? - CORRECT
ANSWER - S&P 500
, An insurer that terminates a producer's appointment must inform the Commissioner within how
many days? - CORRECT ANSWER - 30
When does a Guaranteed Insurability Rider allow the insured to buy additional coverage? -
CORRECT ANSWER - At future dates specified in the contract with no evidence of
insurability required
Which of these types of policies may NOT have the Automatic Premium Loan provision attached
to it? - CORRECT ANSWER - Decreasing Term
When recommending the purchase or exchange of an annuity, a producer must determine the
suitability of the purchase by performing all of the following EXCEPT - CORRECT
ANSWER - Determining the marital status of the applicant
A producer license may be suspended or revoked if the producer is found to be engaging in -
CORRECT ANSWER - Misrepresentation
Which of these is an element of a Single Premium annuity? - CORRECT ANSWER -
Lump-sum payment
The commissioner may issue an emergency cease and desist order without a hearing for all of the
following circumstances EXCEPT - CORRECT ANSWER - Writing controlled business
The combination of Whole Life and _____ Term Insurance is referred to as a Family Income
Policy - CORRECT ANSWER - Decreasing
Who is NOT required to sign a life insurance application? - CORRECT ANSWER -
Beneficiary
Which type of life policy contains a monthly mortality charge as well as self-directed investment
choices? - CORRECT ANSWER - Variable Universal Life
UPDATED Exam Questions and
CORRECT Answers
When is the face amount of a Whole Life policy paid? - CORRECT ANSWER - When the
insured dies or at the policy's maturity date, whichever happens first
An IRA owner can start making withdrawals and NOT be subjected to a tax penalty beginning at
what age? - CORRECT ANSWER - 59 1/2
In an insurance contract, the insurer is the only party who makes a legally enforceable promise.
What kind of contract is this? - CORRECT ANSWER - Unilateral
Colorado's replacement rules apply to all of the following types of insurance EXCEPT -
CORRECT ANSWER - Single premium whole life
What type of life policy covers two people and pays upon the death of the last insured? -
CORRECT ANSWER - Survivorship
C is a key employee at ABC Incorporated. If a Key Employee life policy is purchased on her life,
which of these statements would be true? - CORRECT ANSWER - ABC is the policy
owner, C is the insured, and ABC is the beneficiary
A policyowner is able to choose the frequency of premium payments through what policy
feature? - CORRECT ANSWER - Premium Mode
Which of the following are Equity Indexed annuities typically invested in? - CORRECT
ANSWER - S&P 500
, An insurer that terminates a producer's appointment must inform the Commissioner within how
many days? - CORRECT ANSWER - 30
When does a Guaranteed Insurability Rider allow the insured to buy additional coverage? -
CORRECT ANSWER - At future dates specified in the contract with no evidence of
insurability required
Which of these types of policies may NOT have the Automatic Premium Loan provision attached
to it? - CORRECT ANSWER - Decreasing Term
When recommending the purchase or exchange of an annuity, a producer must determine the
suitability of the purchase by performing all of the following EXCEPT - CORRECT
ANSWER - Determining the marital status of the applicant
A producer license may be suspended or revoked if the producer is found to be engaging in -
CORRECT ANSWER - Misrepresentation
Which of these is an element of a Single Premium annuity? - CORRECT ANSWER -
Lump-sum payment
The commissioner may issue an emergency cease and desist order without a hearing for all of the
following circumstances EXCEPT - CORRECT ANSWER - Writing controlled business
The combination of Whole Life and _____ Term Insurance is referred to as a Family Income
Policy - CORRECT ANSWER - Decreasing
Who is NOT required to sign a life insurance application? - CORRECT ANSWER -
Beneficiary
Which type of life policy contains a monthly mortality charge as well as self-directed investment
choices? - CORRECT ANSWER - Variable Universal Life
