MISSOURI LIFE INSURANCE EXAM
PRACTICE EXAM WITH CORRECT ACTUAL
QUESTIONS AND CORRECTLY WELL
DEFINED ANSWERS LATEST ALREADY
GRADED A+ 2025 – 2026
The chief officer of the Department of Insurance is the Director. All the
following statements concerning the Director are true EXCEPT
a) The Director may serve as an officer or director for an unauthorized
insurer.
b) The Director must be experienced in matters of insurance.
c) The Director must be a citizen of the state of Missouri.
d) The Director is appointed by the Governor. - ANSWERS-a) The Director may
serve as an officer or director for an unauthorized insurer.
The Director cannot have any interest, other than as a policyholder, in an
insurance company while serving in office.
What must contain a notice of the graded death benefit in a life insurance
policy with graded death benefits?
a) The policy underwriting explanation
,b) The policy's provisions section
c) The policy's exclusions section
d) The policy application - ANSWERS-d) The policy application
The policy application must contain a notice of the graded death benefit.
Which of the following is NOT among the actions that the Director could take
after determining that an insurer has engaged in an unfair trade practice?
a) Suspend the insurer's certificate of authority
b) Void any applicable policies
c) Seek civil action
d) Revoke the insurer's license - ANSWERS-b) Void any applicable policies
A time in which the annuitant or the beneficiary DO NOT receive income. -
ANSWERS-Depreciation period
Jim Bob buys a $100,000 annual renewable term life policy for extra
protection until his children graduate college he finds out that his policy. -
ANSWERS-Required a premium increase each renewal
Under the fair credit report act if a customer questions the accuracy of the
information in his or her report what would the agency do? - ANSWERS-
Respond to the customers complaints
What is NOT true about beneficiary designations? - ANSWERS-The beneficiary
must have insurable interest in the insured.
,What may a participating insurance policy do? - ANSWERS-Pay dividends to
the policy owner
What nonforfeiture option Provides coverage for the longest period of time -
ANSWERS-Reduced Paid-Up
A life insurance policy used to fund an agreement establishing the intent of
someone to purchase a business upon the insured, business owners death is?
Ps just writing this made my brain hurt. - ANSWERS-Buy-sell agreement
Buy-Sell Agreement - ANSWERS-are used to contractually establish the intent
of someone else to purchase the business upon the insured's death, and to
set a value (purchase price) on a business. Life insurance is used to fund the
buy-sell agreement. Any type of life insurance may be purchased to provide
the necessary funds for the agreement.
Insurance can be used to either fully or partially fund the buy-sell agreement.
What will be included in the policy summary? - ANSWERS-A policy summary
must be delivered along with the policy and will provide
•producer's name and address
•the insurance company's home office address
•the generic name of the policy issued •premium, cash value, surrender
value
•death benefit figures for specific policy years.
What qualifies employees insured under a group life plan to be allowed to
convert to individual insurance of the same coverage once the plan is
, terminated? - ANSWERS-Those who have been insured under the plan for at
least 5 years.
All of the following are Nonforfeiture options EXCEPT
a) Cash surrender
b) Extended term
c) Reduced paid-up
d) Interest only - ANSWERS-d) Interest only
Nonforfeiture values include cash surrender, extended term and reduced
paid-up. Interest only is a settlement option.
A producer is helping a married couple determine the financial needs of their
children in the event one or both should die prematurely. This is a personal
use of life insurance known as
a) Juvenile protection provision.
b) Survivor protection.
c) Life planning.
a) Survivorship insurance. - ANSWERS-b) Survivor protection.
When an employer terminate coverage under a group policy, how long is that
coverage in force? - ANSWERS-31 Days. The employee has 31 days under the
conversion privilege to convert to an individual policy.
When talking about parties to a contract, what makes a person legally
competent. - ANSWERS-The person must complete secondary education.
PRACTICE EXAM WITH CORRECT ACTUAL
QUESTIONS AND CORRECTLY WELL
DEFINED ANSWERS LATEST ALREADY
GRADED A+ 2025 – 2026
The chief officer of the Department of Insurance is the Director. All the
following statements concerning the Director are true EXCEPT
a) The Director may serve as an officer or director for an unauthorized
insurer.
b) The Director must be experienced in matters of insurance.
c) The Director must be a citizen of the state of Missouri.
d) The Director is appointed by the Governor. - ANSWERS-a) The Director may
serve as an officer or director for an unauthorized insurer.
The Director cannot have any interest, other than as a policyholder, in an
insurance company while serving in office.
What must contain a notice of the graded death benefit in a life insurance
policy with graded death benefits?
a) The policy underwriting explanation
,b) The policy's provisions section
c) The policy's exclusions section
d) The policy application - ANSWERS-d) The policy application
The policy application must contain a notice of the graded death benefit.
Which of the following is NOT among the actions that the Director could take
after determining that an insurer has engaged in an unfair trade practice?
a) Suspend the insurer's certificate of authority
b) Void any applicable policies
c) Seek civil action
d) Revoke the insurer's license - ANSWERS-b) Void any applicable policies
A time in which the annuitant or the beneficiary DO NOT receive income. -
ANSWERS-Depreciation period
Jim Bob buys a $100,000 annual renewable term life policy for extra
protection until his children graduate college he finds out that his policy. -
ANSWERS-Required a premium increase each renewal
Under the fair credit report act if a customer questions the accuracy of the
information in his or her report what would the agency do? - ANSWERS-
Respond to the customers complaints
What is NOT true about beneficiary designations? - ANSWERS-The beneficiary
must have insurable interest in the insured.
,What may a participating insurance policy do? - ANSWERS-Pay dividends to
the policy owner
What nonforfeiture option Provides coverage for the longest period of time -
ANSWERS-Reduced Paid-Up
A life insurance policy used to fund an agreement establishing the intent of
someone to purchase a business upon the insured, business owners death is?
Ps just writing this made my brain hurt. - ANSWERS-Buy-sell agreement
Buy-Sell Agreement - ANSWERS-are used to contractually establish the intent
of someone else to purchase the business upon the insured's death, and to
set a value (purchase price) on a business. Life insurance is used to fund the
buy-sell agreement. Any type of life insurance may be purchased to provide
the necessary funds for the agreement.
Insurance can be used to either fully or partially fund the buy-sell agreement.
What will be included in the policy summary? - ANSWERS-A policy summary
must be delivered along with the policy and will provide
•producer's name and address
•the insurance company's home office address
•the generic name of the policy issued •premium, cash value, surrender
value
•death benefit figures for specific policy years.
What qualifies employees insured under a group life plan to be allowed to
convert to individual insurance of the same coverage once the plan is
, terminated? - ANSWERS-Those who have been insured under the plan for at
least 5 years.
All of the following are Nonforfeiture options EXCEPT
a) Cash surrender
b) Extended term
c) Reduced paid-up
d) Interest only - ANSWERS-d) Interest only
Nonforfeiture values include cash surrender, extended term and reduced
paid-up. Interest only is a settlement option.
A producer is helping a married couple determine the financial needs of their
children in the event one or both should die prematurely. This is a personal
use of life insurance known as
a) Juvenile protection provision.
b) Survivor protection.
c) Life planning.
a) Survivorship insurance. - ANSWERS-b) Survivor protection.
When an employer terminate coverage under a group policy, how long is that
coverage in force? - ANSWERS-31 Days. The employee has 31 days under the
conversion privilege to convert to an individual policy.
When talking about parties to a contract, what makes a person legally
competent. - ANSWERS-The person must complete secondary education.
