Texas State Exam Simulator - Life and Health Insurance (200 Questions... file:///C:/Users/HP/Desktop/New%20folder/Texas%20State%20Exa
Texas State Exam Simulator - Life and Health
Insurance (200 Questions Practice Exam) &
Verified Answers
1. An annuity promises that, if the annuitant dies before receiving payments
equal to the correct value, the payments will be continued to a beneficiary until an
amount equal to the contract value has been paid. This type of annuity is called
An installment Refund annuity
A Straight Life annuity
A Cash Refund annuity
A Joint Life annuity
Answer An installment Refund annuity
2. One becomes eligible for Social Security disability benefits after having
been disabled for
1 of 116 12/16/2024, 5:43
,Texas State Exam Simulator - Life and Health Insurance (200 Questions... file:///C:/Users/HP/Desktop/New%20folder/Texas%20State%20Exa
3 months
5 months
6 months
12 months
Answer 5 months
3. A potential client, age 40, would like to purchase aWhole Life policy that will
accumulate cash value at a faster rate in the early years of the policy. Which of
these statements made by the producer would be correct?
Straight life accumulates faster than Limited-pay Life
20-Pay Life accumulates cash value faster than Straight Life
Cash value accumulation of both 20-Pay Life and Straight Life depend on the
insurer's financial rating
20-Pay Life and Straight Life accumulate cash value at the same rate
Answer 20-Pay Life accumulates cash value faster than Straight Life
4. Who makes the legally enforceable promises in a unilateral insurance poli-
cy?
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,Texas State Exam Simulator - Life and Health Insurance (200 Questions... file:///C:/Users/HP/Desktop/New%20folder/Texas%20State%20Exa
Beneficiary
Insurance company
Insured
Applicant
Answer Insurance company
5. The Consideration clause in a life insurance policy indicates that a policy-
owner's consideration consists of a completed application and
the initial premium
agreeing to a physical examination
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,Texas State Exam Simulator - Life and Health Insurance (200 Questions... file:///C:/Users/HP/Desktop/New%20folder/Texas%20State%20Exa
delivery of policy
disclosure of any medical conditions
Answer the initial premium
6. Which parts of a life insurance policy are guaranteed to be true?
Rating
Representation
Statement
Warranty
Answer Warranty
7. A comprehensive major medical health insurance policy contains an Eligi-
ble Expenses provision which identifies the types of health care services that are
covered. All of the following health care services are typically covered EXCEPT
for
hospital charges
physician fees
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Texas State Exam Simulator - Life and Health
Insurance (200 Questions Practice Exam) &
Verified Answers
1. An annuity promises that, if the annuitant dies before receiving payments
equal to the correct value, the payments will be continued to a beneficiary until an
amount equal to the contract value has been paid. This type of annuity is called
An installment Refund annuity
A Straight Life annuity
A Cash Refund annuity
A Joint Life annuity
Answer An installment Refund annuity
2. One becomes eligible for Social Security disability benefits after having
been disabled for
1 of 116 12/16/2024, 5:43
,Texas State Exam Simulator - Life and Health Insurance (200 Questions... file:///C:/Users/HP/Desktop/New%20folder/Texas%20State%20Exa
3 months
5 months
6 months
12 months
Answer 5 months
3. A potential client, age 40, would like to purchase aWhole Life policy that will
accumulate cash value at a faster rate in the early years of the policy. Which of
these statements made by the producer would be correct?
Straight life accumulates faster than Limited-pay Life
20-Pay Life accumulates cash value faster than Straight Life
Cash value accumulation of both 20-Pay Life and Straight Life depend on the
insurer's financial rating
20-Pay Life and Straight Life accumulate cash value at the same rate
Answer 20-Pay Life accumulates cash value faster than Straight Life
4. Who makes the legally enforceable promises in a unilateral insurance poli-
cy?
2 of 116 12/16/2024, 5:43
,Texas State Exam Simulator - Life and Health Insurance (200 Questions... file:///C:/Users/HP/Desktop/New%20folder/Texas%20State%20Exa
Beneficiary
Insurance company
Insured
Applicant
Answer Insurance company
5. The Consideration clause in a life insurance policy indicates that a policy-
owner's consideration consists of a completed application and
the initial premium
agreeing to a physical examination
3 of 116 12/16/2024, 5:43
,Texas State Exam Simulator - Life and Health Insurance (200 Questions... file:///C:/Users/HP/Desktop/New%20folder/Texas%20State%20Exa
delivery of policy
disclosure of any medical conditions
Answer the initial premium
6. Which parts of a life insurance policy are guaranteed to be true?
Rating
Representation
Statement
Warranty
Answer Warranty
7. A comprehensive major medical health insurance policy contains an Eligi-
ble Expenses provision which identifies the types of health care services that are
covered. All of the following health care services are typically covered EXCEPT
for
hospital charges
physician fees
4 of 116 12/16/2024, 5:43
