WISCONSIN LIFE INSURANCE QUESTIONS &
ANSWERS
Which of the following is NOT an allowable reason for policy cancellation prior to its
expiration date? - Answers :Any misrepresentation by the insured
An insurance agent who represents multiple companies on a nonexclusive basis and
earns commissions on personal sales is working in what kind of marketing system? -
Answers :Independent agency system
An agent misrepresents the insurer, making ridiculous claims and offering policy
rebates. Who will be held legally responsible for these acts? - Answers :The insurer
Which of the following is consideration on the part of an insurer? - Answers :Paying a
claim
Which type of authority is found in the agent's contract? - Answers :Express
An insurance company requires applicants to undergo physical examinations to obtain
or continue coverage. Who will pay for the examination? - Answers :The insurer
How many days after passing their state examination doesn't a applicant have to apply
for a license? - Answers :180 Days
The accumulation phase of a fixed annuity, the annuitant interest rate is based on a
minimum rate, as specified in the contract, or the current interest rate, whichever is -
Answers :Higher
Ensures in intermediaries must provide a copy of the current edition of the Wisconsin
buyers guide to annuities and preliminary contract summary at what point? - Answers
:Prior to accepting the applicants initial premium.
An equity indexed annuity will grow based upon - Answers :performance of a
recognized index
A new home buyer wants to purchase a life insurance policy that would protect his
family against losing the home, should he die before the mortgage was paid, the most
expensive type of policy that would accomplish - Answers :This need would be
decreasing term.
Your client wants to provide a retirement home for his elderly parents in case something
happens to him. He wants to make sure both beneficiaries are guaranteed an income
for life. Which settlement option show the policy owner select? - Answers :Joint and
survivor.
, Which dividend option will increase the death benefit? - Answers :Paid up additions.
Which of the following statements concerning the medical information bureau is correct?
- Answers :The medical information bureau assist, underwriters and evaluating and
classifying risks.
Which of the following writers pays a beneficiary a death benefit that is double or triple
the face amount if the insured's death was caused by an accident as defined in the
policy? - Answers :An accidental death rider
Which of the following bears the investment risk in a variable life insurance policy? -
Answers :The policy owner
Which of the following could reduce the amount of the death benefit? - Answers :Failure
to repay a policy loan.
What is the effect of negotiations for a contract? - Answers :The time when a statement
made by an insured can affect the insurers obligations
An agent who knowingly misrepresents information for the purpose of inducing an
insured to lapse, forfeit, change, or surrender a life insurance policy annually has
committed an illegal practice known as - Answers :Twisting
An insurance company makes a statement that its policies are guaranteed by the
existence of the Wisconsin insurance security fund, that would be considered an -
Answers :Unfair Trade Practice
Intermediaries must maintain records for how many years? - Answers :3 Years
What type of ensure uses a formal sharing agreement? - Answers :Reciprocal insurers
If the commissioner disapproves a form used by an insurer, the use of the form must be
discontinued within the maximum of how many days? - Answers :90 days.
An example of an alien insurer doing business in the state is - Answers :One formed
under the laws of Mexico
No intermediary may receive any compensation from an insurer for placing insurance
on himself or herself, unless they have also placed insurance on others within the same
insurer within the preceding - Answers :12 Months
To purchase insurance the policy owner must face the possibility of losing money or
something of value in the event of loss. What is the concept called? - Answers
:Insurable interest
ANSWERS
Which of the following is NOT an allowable reason for policy cancellation prior to its
expiration date? - Answers :Any misrepresentation by the insured
An insurance agent who represents multiple companies on a nonexclusive basis and
earns commissions on personal sales is working in what kind of marketing system? -
Answers :Independent agency system
An agent misrepresents the insurer, making ridiculous claims and offering policy
rebates. Who will be held legally responsible for these acts? - Answers :The insurer
Which of the following is consideration on the part of an insurer? - Answers :Paying a
claim
Which type of authority is found in the agent's contract? - Answers :Express
An insurance company requires applicants to undergo physical examinations to obtain
or continue coverage. Who will pay for the examination? - Answers :The insurer
How many days after passing their state examination doesn't a applicant have to apply
for a license? - Answers :180 Days
The accumulation phase of a fixed annuity, the annuitant interest rate is based on a
minimum rate, as specified in the contract, or the current interest rate, whichever is -
Answers :Higher
Ensures in intermediaries must provide a copy of the current edition of the Wisconsin
buyers guide to annuities and preliminary contract summary at what point? - Answers
:Prior to accepting the applicants initial premium.
An equity indexed annuity will grow based upon - Answers :performance of a
recognized index
A new home buyer wants to purchase a life insurance policy that would protect his
family against losing the home, should he die before the mortgage was paid, the most
expensive type of policy that would accomplish - Answers :This need would be
decreasing term.
Your client wants to provide a retirement home for his elderly parents in case something
happens to him. He wants to make sure both beneficiaries are guaranteed an income
for life. Which settlement option show the policy owner select? - Answers :Joint and
survivor.
, Which dividend option will increase the death benefit? - Answers :Paid up additions.
Which of the following statements concerning the medical information bureau is correct?
- Answers :The medical information bureau assist, underwriters and evaluating and
classifying risks.
Which of the following writers pays a beneficiary a death benefit that is double or triple
the face amount if the insured's death was caused by an accident as defined in the
policy? - Answers :An accidental death rider
Which of the following bears the investment risk in a variable life insurance policy? -
Answers :The policy owner
Which of the following could reduce the amount of the death benefit? - Answers :Failure
to repay a policy loan.
What is the effect of negotiations for a contract? - Answers :The time when a statement
made by an insured can affect the insurers obligations
An agent who knowingly misrepresents information for the purpose of inducing an
insured to lapse, forfeit, change, or surrender a life insurance policy annually has
committed an illegal practice known as - Answers :Twisting
An insurance company makes a statement that its policies are guaranteed by the
existence of the Wisconsin insurance security fund, that would be considered an -
Answers :Unfair Trade Practice
Intermediaries must maintain records for how many years? - Answers :3 Years
What type of ensure uses a formal sharing agreement? - Answers :Reciprocal insurers
If the commissioner disapproves a form used by an insurer, the use of the form must be
discontinued within the maximum of how many days? - Answers :90 days.
An example of an alien insurer doing business in the state is - Answers :One formed
under the laws of Mexico
No intermediary may receive any compensation from an insurer for placing insurance
on himself or herself, unless they have also placed insurance on others within the same
insurer within the preceding - Answers :12 Months
To purchase insurance the policy owner must face the possibility of losing money or
something of value in the event of loss. What is the concept called? - Answers
:Insurable interest
