Utah Life Insurance Test Questions With
Guaranteed Pass Solutions.
Which of the following is NOT true about social insurances?
A Participation Is mandatory and automatic for all eligible citizens
B Social insurance provides equal benefits to all citizens that contribute
C The government, as an insurance provider, has a clear and strong monopoly
D Benefits are prescribed by law any changes to the benefit structure and provisions are made
by changes in the law - Answer B Social insurance provides equal benefits to all citizens that
contribute
Which of the following statements regarding an insurable risk is FALSE?
A The chance of loss must be calculable
B There must be a large number of homogeneous units
C The loss must cause an economic hardship on the insurer
D The insured event must be-accidental - Answer The loss must cause an economic hardship
on the insurer
(INSURED)
Which Term Life insurance policy would have the highest initial premium, all else being equal?
A 5-year Term
B 1-year Term
C 10-year Term
D 20-year Term - Answer D 20-year Term
The longer the term period, the higher the initial term premium.
Universal Life provides for an increasing death benefit only if the applicant chooses:
A A return of premium rider to the plan
B To include an inflation rider at the time of application
C Death Benefit Option B
, All of the following are true about indeterminate premium whole life policies, except:
A The policy has adjustable premiums
B The company charges a current premium based on current estimates
C They are like participating whole life
D There is a maximum guaranteed premium stated in the policy - Answer C They are like
participating whole life
All of the following policies end when an insured dies, except:
A Joint Life
B Variable Universal Life
C Juvenile Life
D Joint Survivorship - Answer D Joint Survivorship
Which of the following is false in regards to a variable whole life's death benefit?
A The death benefit is tied to and vanes with the performance of the separate account
B While the separate account values may decrease, the policy will neer pay less than the
guaranteed death benefit in the general account
C Death benefits are recalculated monthly
D Policy loans are available from either the general account or the-separate account and will
reduce the overall payout until repaid - Answer C Death benefits are recalculated monthly
Which of the following best describes the return of premium rider?
A An increasing term benefit that matches the cumulative premiums paid
B A benefit similar to waiver of premium, but is free of charge
C A level term rider in the amount of 20 annual premiums
D An increasing term benefit that matches the cash value accumulation - Answer A An
increasing term benefit that matches the cumulative premiums paid
Which of the following life insurance policies has a current and guaranteed maximum premium
stated in the policy?
A Adjustable Life
B Ordinary Straight Whole Life
Guaranteed Pass Solutions.
Which of the following is NOT true about social insurances?
A Participation Is mandatory and automatic for all eligible citizens
B Social insurance provides equal benefits to all citizens that contribute
C The government, as an insurance provider, has a clear and strong monopoly
D Benefits are prescribed by law any changes to the benefit structure and provisions are made
by changes in the law - Answer B Social insurance provides equal benefits to all citizens that
contribute
Which of the following statements regarding an insurable risk is FALSE?
A The chance of loss must be calculable
B There must be a large number of homogeneous units
C The loss must cause an economic hardship on the insurer
D The insured event must be-accidental - Answer The loss must cause an economic hardship
on the insurer
(INSURED)
Which Term Life insurance policy would have the highest initial premium, all else being equal?
A 5-year Term
B 1-year Term
C 10-year Term
D 20-year Term - Answer D 20-year Term
The longer the term period, the higher the initial term premium.
Universal Life provides for an increasing death benefit only if the applicant chooses:
A A return of premium rider to the plan
B To include an inflation rider at the time of application
C Death Benefit Option B
, All of the following are true about indeterminate premium whole life policies, except:
A The policy has adjustable premiums
B The company charges a current premium based on current estimates
C They are like participating whole life
D There is a maximum guaranteed premium stated in the policy - Answer C They are like
participating whole life
All of the following policies end when an insured dies, except:
A Joint Life
B Variable Universal Life
C Juvenile Life
D Joint Survivorship - Answer D Joint Survivorship
Which of the following is false in regards to a variable whole life's death benefit?
A The death benefit is tied to and vanes with the performance of the separate account
B While the separate account values may decrease, the policy will neer pay less than the
guaranteed death benefit in the general account
C Death benefits are recalculated monthly
D Policy loans are available from either the general account or the-separate account and will
reduce the overall payout until repaid - Answer C Death benefits are recalculated monthly
Which of the following best describes the return of premium rider?
A An increasing term benefit that matches the cumulative premiums paid
B A benefit similar to waiver of premium, but is free of charge
C A level term rider in the amount of 20 annual premiums
D An increasing term benefit that matches the cash value accumulation - Answer A An
increasing term benefit that matches the cumulative premiums paid
Which of the following life insurance policies has a current and guaranteed maximum premium
stated in the policy?
A Adjustable Life
B Ordinary Straight Whole Life
