CONNECTICUT LIFE INSURANCE EXAM QUESTIONS
What is the purpose of the Connecticut Life and Health Insurance Guaranty
Association? - Answers - Protects policyowners against insolvent insurance
companies
If an employer decides to cancel a group life insurance plan, it must give at least ---
days notice to the employees prior to the date of cancellation or discontinuation. -
Answers - 15
Rebating is - Answers - an illegal practice in Connecticut
G purchased a Family Income policy at age 40. The policy has a 20-year rider period. If
G were to die at age 50, how long would G's family receive income? - Answers - 10
years
Which provision prevents an insurer from changing the terms of the contract with the
policyowner by referring to documents not found within the policy itself? - Answers -
Entire Contract provision
D owns a Whole Life policy that was purchased 10 years ago. If the premium payments
suddenly stop and D takes no additional action, which Nonforfeiture Option will the
insurer likely proceed with? - Answers - Extended term
B owns a Whole Life policy with a guaranteed insurability option that allows him to
purchase, without evidence of insurability, stated amounts of - Answers - additional
whole life coverage at specified times
What is the underlying concept regarding level premiums? - Answers - The early years
are charged more than what is needed
P is the insured on a participating life policy. Which statement is true if P's premiums are
waived due to a disability? - Answers - P will still receive declared dividends
All individuals covered under a group contract will receive a - Answers - certificate
Why must an insurance applicant answer all questions on the application? - Answers -
Statements and representations on the application are part of the consideration for
issuing a policy
K buys a policy where the premium stays fixed for the first 5 years. The premium then
increases in year 6 and stays level thereafter, all the while the death benefit remains the
same. What kind of policy is this? - Answers - Modified whole life
, Insurance policies are considered aleatory contracts because - Answers - performance
is conditioned upon a future occurrence
A provision in a life insurance policy that pays the policyowner an amount that does not
surpass the guaranteed cash value is called the - Answers - Policy loan provision
Which statement is correct regarding the premium payment schedule for whole life
policies? - Answers - Premiums are payable throughout the insurds lifetime/ coverage
lasts until death of the insured
Which of these is NOT a type of agent authority? - Answers - Principal
Agent authority is what an agent is authorized to do on behalf of his company. The three
types of agent authority include express, implied, and apparent authority.
T cash surrenders a recently-issued whole life policy. He also requests that the
proceeds be payable to an unrelated third party. T would likely be red-flagged for
violation of - Answers - anti-money laundering rules
T is given a receipt After completing a life insurance application and paying the initial
premium. Under this situation, T's coverage is - Answers - conditional, depending on
the insurers underwriting guidelines
Variable annuities may invest premiums in each of the following, EXCEPT: - Answers -
Insurers corporate business account
Upon policy delivery, a signed good health statement is requested from the applicant.
Why would this be necessary? - Answers - The initial premium was NOT submitted
with the application
What does a 401(k) plan generally provide its participants? - Answers - Salary-deferral
contributions
A policyowner would like to change the beneficiary on a Life insurance policy and make
the change permanent. Which type of designation would fulfill this need? - Answers -
Irrevocable
Which of the following statements is CORRECT about accelerated death benefits? -
Answers - Must have a terminal illness to qualify
A Nonforfeiture clause gives the policyowner - Answers - guaranteed values even if
the policy has lapsed
A statement made by an insured in an insurance application that must be true to the
best of one's knowledge and which becomes a part of the contract is known as -
Answers - a representation
What is the purpose of the Connecticut Life and Health Insurance Guaranty
Association? - Answers - Protects policyowners against insolvent insurance
companies
If an employer decides to cancel a group life insurance plan, it must give at least ---
days notice to the employees prior to the date of cancellation or discontinuation. -
Answers - 15
Rebating is - Answers - an illegal practice in Connecticut
G purchased a Family Income policy at age 40. The policy has a 20-year rider period. If
G were to die at age 50, how long would G's family receive income? - Answers - 10
years
Which provision prevents an insurer from changing the terms of the contract with the
policyowner by referring to documents not found within the policy itself? - Answers -
Entire Contract provision
D owns a Whole Life policy that was purchased 10 years ago. If the premium payments
suddenly stop and D takes no additional action, which Nonforfeiture Option will the
insurer likely proceed with? - Answers - Extended term
B owns a Whole Life policy with a guaranteed insurability option that allows him to
purchase, without evidence of insurability, stated amounts of - Answers - additional
whole life coverage at specified times
What is the underlying concept regarding level premiums? - Answers - The early years
are charged more than what is needed
P is the insured on a participating life policy. Which statement is true if P's premiums are
waived due to a disability? - Answers - P will still receive declared dividends
All individuals covered under a group contract will receive a - Answers - certificate
Why must an insurance applicant answer all questions on the application? - Answers -
Statements and representations on the application are part of the consideration for
issuing a policy
K buys a policy where the premium stays fixed for the first 5 years. The premium then
increases in year 6 and stays level thereafter, all the while the death benefit remains the
same. What kind of policy is this? - Answers - Modified whole life
, Insurance policies are considered aleatory contracts because - Answers - performance
is conditioned upon a future occurrence
A provision in a life insurance policy that pays the policyowner an amount that does not
surpass the guaranteed cash value is called the - Answers - Policy loan provision
Which statement is correct regarding the premium payment schedule for whole life
policies? - Answers - Premiums are payable throughout the insurds lifetime/ coverage
lasts until death of the insured
Which of these is NOT a type of agent authority? - Answers - Principal
Agent authority is what an agent is authorized to do on behalf of his company. The three
types of agent authority include express, implied, and apparent authority.
T cash surrenders a recently-issued whole life policy. He also requests that the
proceeds be payable to an unrelated third party. T would likely be red-flagged for
violation of - Answers - anti-money laundering rules
T is given a receipt After completing a life insurance application and paying the initial
premium. Under this situation, T's coverage is - Answers - conditional, depending on
the insurers underwriting guidelines
Variable annuities may invest premiums in each of the following, EXCEPT: - Answers -
Insurers corporate business account
Upon policy delivery, a signed good health statement is requested from the applicant.
Why would this be necessary? - Answers - The initial premium was NOT submitted
with the application
What does a 401(k) plan generally provide its participants? - Answers - Salary-deferral
contributions
A policyowner would like to change the beneficiary on a Life insurance policy and make
the change permanent. Which type of designation would fulfill this need? - Answers -
Irrevocable
Which of the following statements is CORRECT about accelerated death benefits? -
Answers - Must have a terminal illness to qualify
A Nonforfeiture clause gives the policyowner - Answers - guaranteed values even if
the policy has lapsed
A statement made by an insured in an insurance application that must be true to the
best of one's knowledge and which becomes a part of the contract is known as -
Answers - a representation
