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PEARSON VUE LIFE INSURANCE EXAM LATEST 2026-2027 ACTUAL
EXAM WITH COMPLETE QUESTIONS AND CORRECT DETAILED
ANSWERS (100% VERIFIED ANSWERS) |ALREADY GRADED A+|
||PROFESSOR VERIFIED|| ||BRANDNEW!!!||
The Waiver of Premium provision of a life policy allows the insurer
to take which of the following actions?
A) Waive an insured's premiums if the insured becomes totally
disabled before a certain age
B) Waive an insured's premiums if the insured becomes partially
disabled for a minimum time
C) increase an insured's coverage at an attained age without
imposing a premium increase
D) Reduce an insured's premiums if the insured pays them
annually instead of monthly - ANSWER-A) Waive an insured's
premiums if the insured becomes totally disabled before a certain
age
A life policy is usually contestable due to material
misrepresentation on the application for a period of: - ANSWER-2
years
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If an Adjustable Life policyowner makes an additional premium
payment, the policy may be affected in all of the following ways
EXCEPT the:
A) premium paying period may decrease
B) value of the Nonforfeiture Options may decrease
C) face amount may increase
D) length of coverage may increase - ANSWER-B) value of the
Nonforfeiture Options may decrease
At which of the following times MUST a life insurance applicant be
informed of their rights under the Fair Credit Reporting Act? -
ANSWER-When the policy is delivery
The right to change a beneficiary designation is reserved for the: -
ANSWER-policyowner
A contract that has as its basic function the systematic liquidation
of accumulated assets through periodic payments is called an: -
ANSWER-annuity
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A life insurance application is incomplete if it is missing the
signature of which of the following? - ANSWER-The proposed
adult insured
A policyowner names his wife as the primary beneficiary of his
Universal Life policy on a revocable basis. He also names his
three children as his secondary beneficiaries and his estate as his
tertiary beneficiary. If the policyowner's wife predeceases him,
and then he dies, who will receive the policy proceeds?
A) the children
B) the policyowner's estate
C) the beneficiary's estate
D) the tertiary beneficiary - ANSWER-the children
Which of the following policies is an interest-sensitive form of
permanent protection? - ANSWER-Universal Life
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In life insurance, the Free Look provision begins on the: -
ANSWER-policy delivery date
Which of the following provisions in a life policy specifies the
manner in which proceeds will be paid to a beneficiary on the
death of the insured? - ANSWER-Settlement Options
An insured owns a $10,000 policy with a $4,000 cash value and a
6 percent interest rate. On January 1, the insured borrows $500
and pays one year's interest in advance. During the year, the
insured does not repay any part of the loan or interest. If the
insured dies on December 31, the beneficiary will be entitled to a
MAXIMUM of:
A) 3,500
B) 6,000
C) 9,470
D) 9,500 - ANSWER-$9,500
PEARSON VUE LIFE INSURANCE EXAM LATEST 2026-2027 ACTUAL
EXAM WITH COMPLETE QUESTIONS AND CORRECT DETAILED
ANSWERS (100% VERIFIED ANSWERS) |ALREADY GRADED A+|
||PROFESSOR VERIFIED|| ||BRANDNEW!!!||
The Waiver of Premium provision of a life policy allows the insurer
to take which of the following actions?
A) Waive an insured's premiums if the insured becomes totally
disabled before a certain age
B) Waive an insured's premiums if the insured becomes partially
disabled for a minimum time
C) increase an insured's coverage at an attained age without
imposing a premium increase
D) Reduce an insured's premiums if the insured pays them
annually instead of monthly - ANSWER-A) Waive an insured's
premiums if the insured becomes totally disabled before a certain
age
A life policy is usually contestable due to material
misrepresentation on the application for a period of: - ANSWER-2
years
,2|Page
If an Adjustable Life policyowner makes an additional premium
payment, the policy may be affected in all of the following ways
EXCEPT the:
A) premium paying period may decrease
B) value of the Nonforfeiture Options may decrease
C) face amount may increase
D) length of coverage may increase - ANSWER-B) value of the
Nonforfeiture Options may decrease
At which of the following times MUST a life insurance applicant be
informed of their rights under the Fair Credit Reporting Act? -
ANSWER-When the policy is delivery
The right to change a beneficiary designation is reserved for the: -
ANSWER-policyowner
A contract that has as its basic function the systematic liquidation
of accumulated assets through periodic payments is called an: -
ANSWER-annuity
,3|Page
A life insurance application is incomplete if it is missing the
signature of which of the following? - ANSWER-The proposed
adult insured
A policyowner names his wife as the primary beneficiary of his
Universal Life policy on a revocable basis. He also names his
three children as his secondary beneficiaries and his estate as his
tertiary beneficiary. If the policyowner's wife predeceases him,
and then he dies, who will receive the policy proceeds?
A) the children
B) the policyowner's estate
C) the beneficiary's estate
D) the tertiary beneficiary - ANSWER-the children
Which of the following policies is an interest-sensitive form of
permanent protection? - ANSWER-Universal Life
, 4|Page
In life insurance, the Free Look provision begins on the: -
ANSWER-policy delivery date
Which of the following provisions in a life policy specifies the
manner in which proceeds will be paid to a beneficiary on the
death of the insured? - ANSWER-Settlement Options
An insured owns a $10,000 policy with a $4,000 cash value and a
6 percent interest rate. On January 1, the insured borrows $500
and pays one year's interest in advance. During the year, the
insured does not repay any part of the loan or interest. If the
insured dies on December 31, the beneficiary will be entitled to a
MAXIMUM of:
A) 3,500
B) 6,000
C) 9,470
D) 9,500 - ANSWER-$9,500
