,ARIZONA LIFE INSURANCE ONLY STATE EXAM
2025 WITH ACCURATE SOLUTIONS
1. How does a misstatement of age affect the payout of a life insurance
policy upon the policyholder's death?
The insurer will increase the payout amount due to the
misstatement.
The insurer will pay the full face amount regardless of the
misstatement.
The insurer will pay less than the face amount due to the
misstatement.
The insurer will void the policy entirely.
2. What type of laws are violated when insurance is purchased under duress
from the producer?
Unfair trade practice laws
Contract law
Consumer protection laws
Personal injury regulations
3. When testing for HIV, Virginia law requires a consent form
that is only valid for 10 days
to be signed by the Governor
which is provided at the option of the insurer
that discloses who may receive a copy of the results
4. A void contract is one that:
,Is not legally binding or enforceable at any point by either
party.
, Can be made valid if both parties agree.
Can be enforced if one of the parties is a minor.
Is valid until one of the parties chooses to void it.
5. What must be paid when an annuity owner aged 60 surrenders an annuity
for cash?
Neither a tax nor a 10% penalty
Both a tax and a 10% penalty
A 10% penalty
A tax
6. What is a defining characteristic of an immediate annuity?
Tax-free benefit payments
Installment premium payments
Lump-sum benefit
Lack of an accumulation period
7. If a policyholder wants to add coverage for their spouse and children to
their existing life insurance policy, which option should they choose?
Group term rider
Accidental death benefit rider
Individual term rider
Family term rider
8. Describe the significance of the 'minimum coverage' rule in the context of
qualified retirement plans.
The 'minimum coverage' rule mandates that all employees receive
the same retirement benefits regardless of their position.
2025 WITH ACCURATE SOLUTIONS
1. How does a misstatement of age affect the payout of a life insurance
policy upon the policyholder's death?
The insurer will increase the payout amount due to the
misstatement.
The insurer will pay the full face amount regardless of the
misstatement.
The insurer will pay less than the face amount due to the
misstatement.
The insurer will void the policy entirely.
2. What type of laws are violated when insurance is purchased under duress
from the producer?
Unfair trade practice laws
Contract law
Consumer protection laws
Personal injury regulations
3. When testing for HIV, Virginia law requires a consent form
that is only valid for 10 days
to be signed by the Governor
which is provided at the option of the insurer
that discloses who may receive a copy of the results
4. A void contract is one that:
,Is not legally binding or enforceable at any point by either
party.
, Can be made valid if both parties agree.
Can be enforced if one of the parties is a minor.
Is valid until one of the parties chooses to void it.
5. What must be paid when an annuity owner aged 60 surrenders an annuity
for cash?
Neither a tax nor a 10% penalty
Both a tax and a 10% penalty
A 10% penalty
A tax
6. What is a defining characteristic of an immediate annuity?
Tax-free benefit payments
Installment premium payments
Lump-sum benefit
Lack of an accumulation period
7. If a policyholder wants to add coverage for their spouse and children to
their existing life insurance policy, which option should they choose?
Group term rider
Accidental death benefit rider
Individual term rider
Family term rider
8. Describe the significance of the 'minimum coverage' rule in the context of
qualified retirement plans.
The 'minimum coverage' rule mandates that all employees receive
the same retirement benefits regardless of their position.
