Primerica Practice Test Questions with 100% Verified Answers Rated A
The receipt given to a life insurance applicant
when the application is completed and the initial Which type of annuity settlement stops when the
premium is received is called a(n) - annuitant dies? - ANSWER -life income
ANSWER -conditional receipt annuity
Statements in the application for insurance that At what age can a participant receive
are believed to be true to the best of the distributions from a qualified plan without
applicant's knowledge are called - incurring a 10% penalty? - ANSWER -59.5
ANSWER -representations
Which settlement option guarantees an income
An annuity is considered fixed when it does all of for 2 or more recipients for as long as they live -
the following EXCEPT - ANSWER - ANSWER -joint and survivor
provides the annuitant with an interest rate that is
the lesser of the guaranteed or current rate
Two business partners own life insurance on
each other. If one partner dies, which of the
The most common type of whole life insurance following contracts will allow the surviving partner
where premiums are payable over the whole life to use the death benefit to purchase the
of the insured to age 100 is called - deceased's business interests? -
ANSWER -continuous premium (straight) ANSWER -buy-sell agreement
life
Which of the following would be considered a
The policy and a copy of the application, along flexible premium policy? - ANSWER -
with any riders and amendments, is called the - universal life
ANSWER -entire contract
If an annuitant dies during the accumulation
Money borrowed from the policy's cash value is - period, what will the beneficiary receive? -
ANSWER -not taxable ANSWER -either the cash value or the
premiums paid, whichever is greater
Which of the following annuity products requires
an agent to hold a securities license? - Any insurer who is NOT approved to do business
ANSWER -variable annuities in this state is considered - ANSWER -
nonadmitted
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The receipt given to a life insurance applicant
when the application is completed and the initial Which type of annuity settlement stops when the
premium is received is called a(n) - annuitant dies? - ANSWER -life income
ANSWER -conditional receipt annuity
Statements in the application for insurance that At what age can a participant receive
are believed to be true to the best of the distributions from a qualified plan without
applicant's knowledge are called - incurring a 10% penalty? - ANSWER -59.5
ANSWER -representations
Which settlement option guarantees an income
An annuity is considered fixed when it does all of for 2 or more recipients for as long as they live -
the following EXCEPT - ANSWER - ANSWER -joint and survivor
provides the annuitant with an interest rate that is
the lesser of the guaranteed or current rate
Two business partners own life insurance on
each other. If one partner dies, which of the
The most common type of whole life insurance following contracts will allow the surviving partner
where premiums are payable over the whole life to use the death benefit to purchase the
of the insured to age 100 is called - deceased's business interests? -
ANSWER -continuous premium (straight) ANSWER -buy-sell agreement
life
Which of the following would be considered a
The policy and a copy of the application, along flexible premium policy? - ANSWER -
with any riders and amendments, is called the - universal life
ANSWER -entire contract
If an annuitant dies during the accumulation
Money borrowed from the policy's cash value is - period, what will the beneficiary receive? -
ANSWER -not taxable ANSWER -either the cash value or the
premiums paid, whichever is greater
Which of the following annuity products requires
an agent to hold a securities license? - Any insurer who is NOT approved to do business
ANSWER -variable annuities in this state is considered - ANSWER -
nonadmitted
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