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NEVADA LIFE AND HEALTH LICENSE
EXAM NEWEST 2025 ACTUAL EXAM
COMPLETE 300 QUESTIONS AND CORRECT
DETAILED ANSWERS (VERIFIED ANSWERS)
|ALREADY GRADED A+
What is the purpose of settlement options in life insurance
policies? - ANSWER-to determine how the death benefit will be
paid to the beneficiary
What is the life insurance policy rider that provides coverage on
the insured's family members? - ANSWER-Other-Insured Rider
What is the advantage of reinstating a life insurance policy as
opposed to applying for a new one? - ANSWER-Policy
premium in a reinstated policy will be set according to the
insured's original age
What life insurance policy rider allows the company to forgo
collecting the premium if the insured becomes disabled? -
ANSWER-Waiver of Premium
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What beneficiary designation has first claim to the death
proceeds of a life insurance policy? - ANSWER-Primary
beneficiary
What life insurance policy provision prevents an insurer from
disputing or denying a claim due to misstatements on the
application after a certain period of time? - ANSWER-
Incontestability
What is the purpose of the Automatic Premium Loan provision?
- ANSWER-To prevent the unintentional lapse of a policy
because of nonpayment of the premium
What happens to the proceeds of a life insurance policy if there
is no named beneficiary? - ANSWER-The proceeds are paid to
the insured's estate
With the reduction of premium dividend option, how is the
dividend used? - ANSWER-The dividend is applied to the next
year's premium; it reduces the next year's premium
A policyowner borrowed a portion of cash value from his whole
life policy. If the loan is not repaid, how will that affect the death
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benefit to the beneficiary? - ANSWER-The amount of the loan
will be subtracted from the death benefit
What type of beneficiary is next in line after the primary
beneficiary? - ANSWER-Contingent beneficiary
If a settlement option is not chosen by the policy owner or the
beneficiary, what option will be used by the insurer? -
ANSWER-Lump-sum payment
What provision allows the policyowner to reactivate a lapsed
life insurance policy within a specified period of time with proof
of insurability? - ANSWER-Reinstatement
Which of the two types of policy assignments requires transfer
of all ownership rights in the policy to a third party> -
ANSWER-Absolute Assignment
What are the dividend options in life insurance policy -
ANSWER-Cash, reduced premium, accumulation at interest,
paid-up additions, paid-up option, one-year term, and
acceleration of endowment
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When will a contingent beneficiary receive death benefit from a
life insurance policy? - ANSWER-When the primary beneficiary
dies before the insured
What provision in a life insurance policy extends coverage
beyond the premium due date? - ANSWER-Grace period
In the fixed-period settlement option, how will the number of
installments for the death benefit proceeds determine the amount
of the installments? - ANSWER-The longer the period selected,
the smaller each installment will be
What nonforfeiture option has the highest amount of insurance
protection? - ANSWER-Extended Term
If a life insurance policy has an irrevocable beneficiary
designation - ANSWER-The beneficiary can old be changed
with written permission of the beneficiary
What is the purpose of a free-look period in insurance policies? -
ANSWER-It allows the insured to reject the policy with a full
refund
NEVADA LIFE AND HEALTH LICENSE
EXAM NEWEST 2025 ACTUAL EXAM
COMPLETE 300 QUESTIONS AND CORRECT
DETAILED ANSWERS (VERIFIED ANSWERS)
|ALREADY GRADED A+
What is the purpose of settlement options in life insurance
policies? - ANSWER-to determine how the death benefit will be
paid to the beneficiary
What is the life insurance policy rider that provides coverage on
the insured's family members? - ANSWER-Other-Insured Rider
What is the advantage of reinstating a life insurance policy as
opposed to applying for a new one? - ANSWER-Policy
premium in a reinstated policy will be set according to the
insured's original age
What life insurance policy rider allows the company to forgo
collecting the premium if the insured becomes disabled? -
ANSWER-Waiver of Premium
,2|Page
What beneficiary designation has first claim to the death
proceeds of a life insurance policy? - ANSWER-Primary
beneficiary
What life insurance policy provision prevents an insurer from
disputing or denying a claim due to misstatements on the
application after a certain period of time? - ANSWER-
Incontestability
What is the purpose of the Automatic Premium Loan provision?
- ANSWER-To prevent the unintentional lapse of a policy
because of nonpayment of the premium
What happens to the proceeds of a life insurance policy if there
is no named beneficiary? - ANSWER-The proceeds are paid to
the insured's estate
With the reduction of premium dividend option, how is the
dividend used? - ANSWER-The dividend is applied to the next
year's premium; it reduces the next year's premium
A policyowner borrowed a portion of cash value from his whole
life policy. If the loan is not repaid, how will that affect the death
,3|Page
benefit to the beneficiary? - ANSWER-The amount of the loan
will be subtracted from the death benefit
What type of beneficiary is next in line after the primary
beneficiary? - ANSWER-Contingent beneficiary
If a settlement option is not chosen by the policy owner or the
beneficiary, what option will be used by the insurer? -
ANSWER-Lump-sum payment
What provision allows the policyowner to reactivate a lapsed
life insurance policy within a specified period of time with proof
of insurability? - ANSWER-Reinstatement
Which of the two types of policy assignments requires transfer
of all ownership rights in the policy to a third party> -
ANSWER-Absolute Assignment
What are the dividend options in life insurance policy -
ANSWER-Cash, reduced premium, accumulation at interest,
paid-up additions, paid-up option, one-year term, and
acceleration of endowment
, 4|Page
When will a contingent beneficiary receive death benefit from a
life insurance policy? - ANSWER-When the primary beneficiary
dies before the insured
What provision in a life insurance policy extends coverage
beyond the premium due date? - ANSWER-Grace period
In the fixed-period settlement option, how will the number of
installments for the death benefit proceeds determine the amount
of the installments? - ANSWER-The longer the period selected,
the smaller each installment will be
What nonforfeiture option has the highest amount of insurance
protection? - ANSWER-Extended Term
If a life insurance policy has an irrevocable beneficiary
designation - ANSWER-The beneficiary can old be changed
with written permission of the beneficiary
What is the purpose of a free-look period in insurance policies? -
ANSWER-It allows the insured to reject the policy with a full
refund
