Iowa Insurance Exam – Life 2024/2025
Exam Questions with 100% Correct
Answers | Latest Update
purpose of life insurance - 🧠ANSWER ✔✔pay a death benefit to
beneficiaries when the insured dies
life insurance for personal use - 🧠ANSWER ✔✔death benefit serves to
replace the insured's future loss income and pay expenses that occur upon
death, living benefits
Group insurance vs. individual - 🧠ANSWER ✔✔-covers many non-related
people
-less expensive per person
group insurance eligibility - 🧠ANSWER ✔✔-group cannot be formed for the
express purpose of purchasing it
-employers
-labor unions
-trade and professional association groups
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
1
PRIVACY STATEMENT. ALL RIGHTS RESERVED
,individual insurance - 🧠ANSWER ✔✔covers one individual
ordinary life insurance - 🧠ANSWER ✔✔face amounts grater than $25,000,
premiums are payable monthly, quarterly, semi annually, annually; includes
every type of life insurance and annuity product, flexible options
industrial life insurance - 🧠ANSWER ✔✔"burial insurance", small face
amounts 1000 or 2500 to 10,000; premiums paid frequently, no medical
exam, agent meets personally with policy owner to collect premium
permanent life insurance - 🧠ANSWER ✔✔provides life ins for the insured's
entire life; coverage is provided until insured dies or reaches 120 years old
True or false: Level premium of permanent life insurance - once the policy
is issued premiums remain level for the full duration of policy coverage -
🧠ANSWER ✔✔true
Permanent life insurance accumulation element within the policy is
__________ ____________ - 🧠ANSWER ✔✔cash value
Term life insurance - 🧠ANSWER ✔✔coverage is temporary, time limit can
be as short as one year, as long as 20+ years or until the insured reaches
a specific age (ex. 65). No cash value, costs less than permanent life,
premiums increase with age
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
2
PRIVACY STATEMENT. ALL RIGHTS RESERVED
, Participating vs nonparticipating life insurance - 🧠ANSWER ✔✔par - issued
by mutual ins co's, policyowner is eligible for policy dividends declared by
the insurance co; dividends are paid from insurers divisible surplus
non par - issued by stock ins co, no policy dividends
fixed life insurance - 🧠ANSWER ✔✔insurer guarantees fixed death benefit
and min rate of return on policy's cash value, premiums are invested in co's
general account
variable life insurance - 🧠ANSWER ✔✔premiums are invested in
investment sub accounts managed by the insurer - guarantees min death
benefit (face amount of policy); cash values and death benefit raise and fall
based on sub accounts investment
Regulation of Variable products - what do the Securities Exchange
commission and financial Industry Regulatory authority do? - 🧠ANSWER
✔✔SEC - responsible for regulating the securities that make up an insurer's
separate account
FIRA - regulates producers who sell variable life products and companies
that sell investment products
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
3
PRIVACY STATEMENT. ALL RIGHTS RESERVED
Exam Questions with 100% Correct
Answers | Latest Update
purpose of life insurance - 🧠ANSWER ✔✔pay a death benefit to
beneficiaries when the insured dies
life insurance for personal use - 🧠ANSWER ✔✔death benefit serves to
replace the insured's future loss income and pay expenses that occur upon
death, living benefits
Group insurance vs. individual - 🧠ANSWER ✔✔-covers many non-related
people
-less expensive per person
group insurance eligibility - 🧠ANSWER ✔✔-group cannot be formed for the
express purpose of purchasing it
-employers
-labor unions
-trade and professional association groups
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
1
PRIVACY STATEMENT. ALL RIGHTS RESERVED
,individual insurance - 🧠ANSWER ✔✔covers one individual
ordinary life insurance - 🧠ANSWER ✔✔face amounts grater than $25,000,
premiums are payable monthly, quarterly, semi annually, annually; includes
every type of life insurance and annuity product, flexible options
industrial life insurance - 🧠ANSWER ✔✔"burial insurance", small face
amounts 1000 or 2500 to 10,000; premiums paid frequently, no medical
exam, agent meets personally with policy owner to collect premium
permanent life insurance - 🧠ANSWER ✔✔provides life ins for the insured's
entire life; coverage is provided until insured dies or reaches 120 years old
True or false: Level premium of permanent life insurance - once the policy
is issued premiums remain level for the full duration of policy coverage -
🧠ANSWER ✔✔true
Permanent life insurance accumulation element within the policy is
__________ ____________ - 🧠ANSWER ✔✔cash value
Term life insurance - 🧠ANSWER ✔✔coverage is temporary, time limit can
be as short as one year, as long as 20+ years or until the insured reaches
a specific age (ex. 65). No cash value, costs less than permanent life,
premiums increase with age
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
2
PRIVACY STATEMENT. ALL RIGHTS RESERVED
, Participating vs nonparticipating life insurance - 🧠ANSWER ✔✔par - issued
by mutual ins co's, policyowner is eligible for policy dividends declared by
the insurance co; dividends are paid from insurers divisible surplus
non par - issued by stock ins co, no policy dividends
fixed life insurance - 🧠ANSWER ✔✔insurer guarantees fixed death benefit
and min rate of return on policy's cash value, premiums are invested in co's
general account
variable life insurance - 🧠ANSWER ✔✔premiums are invested in
investment sub accounts managed by the insurer - guarantees min death
benefit (face amount of policy); cash values and death benefit raise and fall
based on sub accounts investment
Regulation of Variable products - what do the Securities Exchange
commission and financial Industry Regulatory authority do? - 🧠ANSWER
✔✔SEC - responsible for regulating the securities that make up an insurer's
separate account
FIRA - regulates producers who sell variable life products and companies
that sell investment products
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
3
PRIVACY STATEMENT. ALL RIGHTS RESERVED
