NM LIFE INSURANCE Exam Ch. 2 Questions with
Detailed Verified Answers latest update 2025 Graded
A+
Question: Which of the following is a true statement?
Select one:
a. If an applicant needs to makes changes in their application, the agent
should create a new form.
b. After the applicant's signature, no changes can be made to that particular
application.
c. Any changes in the application must be signed by both the applicant and the
agent.
d. Any changes in the application must be initialed by the applicant.
Ans: d
Question: When completing the application, a producer should do all the
following, EXCEPT:
Select one:
a. Make sure the applicant has completely filled out the application.
b. Determine whether or not the applicant understands questions asked on
the application
c. Obtain the spouse's signature on the application, if the applicant is married
d. Write and sign an honest opinion of the applicant and their integrity in the
section for the Agent's Statement.
, Ans: c
Question: Jeanine submits an application with initial premium for a $100,000
life insurance policy. She is issued a conditional receipt and is not required to
take a medical exam. If Jeanine dies in a plane crash a week later, what will the
insurer do?
Select one:
a. Pay $100,000 to Jeanine's beneficiary if Jeanine's policy would have been
issued as applied for
b. Pay $50,000 to Jeanine's beneficiary since Jeanine's death resulted from an
accident
c. Refund the initial premium to Jeanine's named beneficiary
d. Void the policy, refund the initial premium and deny payment of the claim
because the insurer did not approve Jeanine's coverage
Ans: a
Question: Dale fills out a health insurance policy application, and hands it to
his agent. Of the following statements, which is correct?
Select one:
a. Dale's policy is in force when he pays the initial premium.
b. Dale's policy is in force when he hands his application to the agent.
c. Dale's policy is in force when the insurance company issues the policy.
d. Dale's policy is in force when the agent deliver's Dale's policy.
Ans: d
Detailed Verified Answers latest update 2025 Graded
A+
Question: Which of the following is a true statement?
Select one:
a. If an applicant needs to makes changes in their application, the agent
should create a new form.
b. After the applicant's signature, no changes can be made to that particular
application.
c. Any changes in the application must be signed by both the applicant and the
agent.
d. Any changes in the application must be initialed by the applicant.
Ans: d
Question: When completing the application, a producer should do all the
following, EXCEPT:
Select one:
a. Make sure the applicant has completely filled out the application.
b. Determine whether or not the applicant understands questions asked on
the application
c. Obtain the spouse's signature on the application, if the applicant is married
d. Write and sign an honest opinion of the applicant and their integrity in the
section for the Agent's Statement.
, Ans: c
Question: Jeanine submits an application with initial premium for a $100,000
life insurance policy. She is issued a conditional receipt and is not required to
take a medical exam. If Jeanine dies in a plane crash a week later, what will the
insurer do?
Select one:
a. Pay $100,000 to Jeanine's beneficiary if Jeanine's policy would have been
issued as applied for
b. Pay $50,000 to Jeanine's beneficiary since Jeanine's death resulted from an
accident
c. Refund the initial premium to Jeanine's named beneficiary
d. Void the policy, refund the initial premium and deny payment of the claim
because the insurer did not approve Jeanine's coverage
Ans: a
Question: Dale fills out a health insurance policy application, and hands it to
his agent. Of the following statements, which is correct?
Select one:
a. Dale's policy is in force when he pays the initial premium.
b. Dale's policy is in force when he hands his application to the agent.
c. Dale's policy is in force when the insurance company issues the policy.
d. Dale's policy is in force when the agent deliver's Dale's policy.
Ans: d
