Ohio Life insurance Exam QUESTIONS &
ANSWERS(GRADED A+)
A life insurance company has transferred some of its risk to another insure. The insurer
assuming the risk is called - ANSWER
all of the following are examples of business continuation plan except - ANSWER
Deffered Compensation
All of these are valid options for an Adjustable Life Policy EXCEPT
The policy's premium can be increased or decreased
The policy's death benefit can be increased or decreased
A nonforfeiture option can be used to increase the death benefit
The policy's protection period can be modified - ANSWER A non forfeiture option can
be used to increase the death benefit
the superintendent determines an examination of an insurers books and record is
necessary. After receiving the notification, the insurer - ANSWER must not impede the
examination
the double indemnity prevision in a life insurance policy pertains to an insureds death
caused by a(n) - ANSWER accident
Which of these is not considered to be a risk factor in life insurance underwriting -
ANSWER number of children
the suicide clause of a life insurance policy states that if an insured commits suicide
within the stated period from the policy inception the insurer will only be liable fora
return of premiums paid - ANSWER minus indebtedness and without interest
A minor may receive a life inurance polciys death benefit only - ANSWER if the minor
has an appointed guardian
a life insruacne policy that has premiums fully paid up within a stated time period is
called - ANSWER limited payment insurance
When a qualified plan starts making payments to its recipient, which portion of the
distributions is taxable?
Principal
Contributions made by employee
Contributions made by employer
Gains - ANSWER Gains
, Which of the following does a life insurance policy summary normally include -
ANSWER the policys cash value
a whole life policy option where extended term insurance is selected is called -
ANSWER nonforfeiture option
an agents license has been suspended for non-renewal. The agent may apply for
reinstatement - ANSWER within 12 months of the license renewal date
Which of these is not considered to be a common life insurance nonforfeiture option
cash surrender
extended term insurance
reduced paid-up insurance
life income annuity - ANSWER life income annuity
which of these is a method of determining the level of funds required for ongoing
support in the event of the breadwinners death - ANSWER human life value
All of these are valid policy dividend options for a life insurance policyowner EXCEPT
cash outlay to the policy owner
accumulate without interest
reduction in policy premium
buy additional insurance coverage - ANSWER accumulate without interest
all of the following are responsibilities of the superintendent except
administering oaths
subpoena a witness
approving policy forms
endorsing insurers - ANSWER endorsing insurers
all of the following may be an unfair claims practice except
turning down a claim without providing the basis of denial
denying an insured fraudulent claim
failing to promptly acknowledge pertinent communications concerning claims
failing to effectuate prompt, fair and equitable settlements of a claim - ANSWER
denying an insured fraudulent claim
An error was made on Mary's life insurance application. Which of the following areas
are errors commonly made on applications for which the incontestable clause does
NOT apply?
ANSWERS(GRADED A+)
A life insurance company has transferred some of its risk to another insure. The insurer
assuming the risk is called - ANSWER
all of the following are examples of business continuation plan except - ANSWER
Deffered Compensation
All of these are valid options for an Adjustable Life Policy EXCEPT
The policy's premium can be increased or decreased
The policy's death benefit can be increased or decreased
A nonforfeiture option can be used to increase the death benefit
The policy's protection period can be modified - ANSWER A non forfeiture option can
be used to increase the death benefit
the superintendent determines an examination of an insurers books and record is
necessary. After receiving the notification, the insurer - ANSWER must not impede the
examination
the double indemnity prevision in a life insurance policy pertains to an insureds death
caused by a(n) - ANSWER accident
Which of these is not considered to be a risk factor in life insurance underwriting -
ANSWER number of children
the suicide clause of a life insurance policy states that if an insured commits suicide
within the stated period from the policy inception the insurer will only be liable fora
return of premiums paid - ANSWER minus indebtedness and without interest
A minor may receive a life inurance polciys death benefit only - ANSWER if the minor
has an appointed guardian
a life insruacne policy that has premiums fully paid up within a stated time period is
called - ANSWER limited payment insurance
When a qualified plan starts making payments to its recipient, which portion of the
distributions is taxable?
Principal
Contributions made by employee
Contributions made by employer
Gains - ANSWER Gains
, Which of the following does a life insurance policy summary normally include -
ANSWER the policys cash value
a whole life policy option where extended term insurance is selected is called -
ANSWER nonforfeiture option
an agents license has been suspended for non-renewal. The agent may apply for
reinstatement - ANSWER within 12 months of the license renewal date
Which of these is not considered to be a common life insurance nonforfeiture option
cash surrender
extended term insurance
reduced paid-up insurance
life income annuity - ANSWER life income annuity
which of these is a method of determining the level of funds required for ongoing
support in the event of the breadwinners death - ANSWER human life value
All of these are valid policy dividend options for a life insurance policyowner EXCEPT
cash outlay to the policy owner
accumulate without interest
reduction in policy premium
buy additional insurance coverage - ANSWER accumulate without interest
all of the following are responsibilities of the superintendent except
administering oaths
subpoena a witness
approving policy forms
endorsing insurers - ANSWER endorsing insurers
all of the following may be an unfair claims practice except
turning down a claim without providing the basis of denial
denying an insured fraudulent claim
failing to promptly acknowledge pertinent communications concerning claims
failing to effectuate prompt, fair and equitable settlements of a claim - ANSWER
denying an insured fraudulent claim
An error was made on Mary's life insurance application. Which of the following areas
are errors commonly made on applications for which the incontestable clause does
NOT apply?
