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WV State Life Insurance Exam| Complete Exam
Questions and CORRECT Answers| (2025 update)
Assured success| grade A+
_______ is the authority given to a producer to transact business
on behalf of the insurer - . . ANSWER ✓✓ Appointment
___________ ___________ insurance is life or health insurance
offered through direct-response solicitation by a sponsoring
organization - . . ANSWER ✓✓ Mass marketed
A father who dies within 3 years after purchasing a life insurance
policy on his infant daughter can have the policy premiums
waived under which provision? - . . ANSWER ✓✓ Payor provision
A group life insurance policy insured may assign up to _____ of
the insured's coverage - . . ANSWER ✓✓ 100%
A group-owned insurance company that is formed to assume
and spread the liability risks of its members is known as a: - . .
ANSWER ✓✓ Risk retention group
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A Key Employee policy is taken out by Company X on its vice
president. Ten years later, this employee leaves Company X and
begins working for Company Y. If this individual were to die and
the policy is still in force and unchanged, where would the death
proceeds be directed? - . . ANSWER ✓✓ company x
A labor union must have at LEAST ____ members to be issued a
group life policy - . . ANSWER ✓✓ 25
A life insurance arrangement which circumvents insurable
interest statutes is called: - . . ANSWER ✓✓ Investor-Originated
Life Insurance
A life insurance policy owner recently died. The proceeds from
this policy are NOT exempt from a creditor's claims when they
are payable to - . . ANSWER ✓✓ The insured's estate
A life policy loan in WV cannot charge a fixed rate of interest
higher than - . . ANSWER ✓✓ 8%
A Loss-Purchase Buy and Sell agreement among three partners,
funded with individual life insurance, would require how many
policies? - . . ANSWER ✓✓ 6
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A Medical Information Report (MIB) report may disclose which of
the following: - . . ANSWER ✓✓ Prior use of marijuana
A noncontributory group term life plan is characterized by: - . .
ANSWER ✓✓ The entire cost of the plan is paid for by the
employer
A person who is insured within a group contract will be given a -
. . ANSWER ✓✓ certificate
A policy loan is made possible by which of these life insurance
policy features? - . . ANSWER ✓✓ Cash value provision
A policy owner is allowed to pay premiums more than once a
year under which provision? - . . ANSWER ✓✓ Mode of premium
A policy owner is allowed to pay premiums more than once a
year under which provision? - . . ANSWER ✓✓ Mode of premium
A policy owner's rights are limited under which beneficiary
designation? - . . ANSWER ✓✓ Irrevocable
A policy that becomes a Modified Endowment Contract (MEC): - . .
ANSWER ✓✓ Will lose many of its tax advantages
WV State Life Insurance Exam| Complete Exam
Questions and CORRECT Answers| (2025 update)
Assured success| grade A+
_______ is the authority given to a producer to transact business
on behalf of the insurer - . . ANSWER ✓✓ Appointment
___________ ___________ insurance is life or health insurance
offered through direct-response solicitation by a sponsoring
organization - . . ANSWER ✓✓ Mass marketed
A father who dies within 3 years after purchasing a life insurance
policy on his infant daughter can have the policy premiums
waived under which provision? - . . ANSWER ✓✓ Payor provision
A group life insurance policy insured may assign up to _____ of
the insured's coverage - . . ANSWER ✓✓ 100%
A group-owned insurance company that is formed to assume
and spread the liability risks of its members is known as a: - . .
ANSWER ✓✓ Risk retention group
,2|Page
A Key Employee policy is taken out by Company X on its vice
president. Ten years later, this employee leaves Company X and
begins working for Company Y. If this individual were to die and
the policy is still in force and unchanged, where would the death
proceeds be directed? - . . ANSWER ✓✓ company x
A labor union must have at LEAST ____ members to be issued a
group life policy - . . ANSWER ✓✓ 25
A life insurance arrangement which circumvents insurable
interest statutes is called: - . . ANSWER ✓✓ Investor-Originated
Life Insurance
A life insurance policy owner recently died. The proceeds from
this policy are NOT exempt from a creditor's claims when they
are payable to - . . ANSWER ✓✓ The insured's estate
A life policy loan in WV cannot charge a fixed rate of interest
higher than - . . ANSWER ✓✓ 8%
A Loss-Purchase Buy and Sell agreement among three partners,
funded with individual life insurance, would require how many
policies? - . . ANSWER ✓✓ 6
, 3|Page
A Medical Information Report (MIB) report may disclose which of
the following: - . . ANSWER ✓✓ Prior use of marijuana
A noncontributory group term life plan is characterized by: - . .
ANSWER ✓✓ The entire cost of the plan is paid for by the
employer
A person who is insured within a group contract will be given a -
. . ANSWER ✓✓ certificate
A policy loan is made possible by which of these life insurance
policy features? - . . ANSWER ✓✓ Cash value provision
A policy owner is allowed to pay premiums more than once a
year under which provision? - . . ANSWER ✓✓ Mode of premium
A policy owner is allowed to pay premiums more than once a
year under which provision? - . . ANSWER ✓✓ Mode of premium
A policy owner's rights are limited under which beneficiary
designation? - . . ANSWER ✓✓ Irrevocable
A policy that becomes a Modified Endowment Contract (MEC): - . .
ANSWER ✓✓ Will lose many of its tax advantages
