NEVADA LIFE AND HEALTH 2026 EXAMS SCRIPT
QUESTIONS AND ANSWERS SURE A+
✔✔What best describes gross annual premium? - ✔✔Net premium plus expenses
✔✔What is the appropriate action by the insurer if a prospective insured submitted an
incomplete application? - ✔✔Return the application to the applicant for completion
✔✔What is a statement that is guaranteed to be true, and if untrue, may breach an
insurance contract? - ✔✔Warranty
✔✔What is the minimum interest rate on an equity indexed annuity often based? -
✔✔An index like Standard & Poor's 500
✔✔What annuity settlement option provides income payments to the annuitant for the
duration of their life and also guarantees payment for a specified number of years? -
✔✔Life income with period certain
✔✔If the annuitant dies before the annuitization period starts, what will beneficiary
receive? - ✔✔Either the amount paid into the annuity or cash value, whichever is
greater
✔✔In annually renewable term policies, what is the annual premium based upon? -
✔✔The insured's attained age
✔✔If the annuitant dies during the accumulation period, who will receive the annuity
benefits? - ✔✔The beneficiary
✔✔What does the term "level" refer to in level term insurance? - ✔✔Face amount
✔✔What type of life insurance is best suited to cover a mortgage? - ✔✔Decreasing
term
,✔✔Who receives income payments from an annuity? - ✔✔Annuitant
✔✔What type of premium is charged on a straight life policy? - ✔✔A level premium for
the life of the insured
✔✔In variable universal life insurance, to what policy component does the term
"variable" refer? - ✔✔Cash value and death benefit
✔✔A whole policy that requires that the policyowner only pays premiums for a specified
number of years is known as what kind of policy? - ✔✔Limited-Pay Whole Life
✔✔In an annuity, the accumulated money is converted into a stream of income during
which phase? - ✔✔Annuitization period
✔✔Whose life expectancy is taken into consideration in an annuity contract? - ✔✔The
annuitant
✔✔What type of life insurance offers an applicant a cash value element? -
✔✔Permanent Insurance
✔✔Mortality tables are used by insurance companies to predict what? - ✔✔Life
expectancy and the death rates for specific groups of individuals
✔✔If there is no named beneficiary for the annuity benefits, to which entity will the
benefits be paid? - ✔✔The annuitant's estate
✔✔How soon can income payments begin in an immediate annuity? - ✔✔No later than
1 year from the time of annuity purchase
✔✔What type of annuity requires an agent to have a securities license? - ✔✔Variable
annuity
✔✔What policy loans are not available on term insurance? - ✔✔There is no cash value
to borrow against
✔✔An individual has a contract that will provide them with a certain amount of income
for the rest of their life, however, this is not a life insurance policy. What type of contract
does this person have? - ✔✔Annuity
✔✔How long will a life annuity with a 15-year period certain pay? - ✔✔For the life of the
annuitant unless they die within the first 15 years of the annuitization period; then the
payments will last 15 years
, ✔✔When does an adjustable life policy accumulate cash value? - ✔✔When the
premiums paid are more than the cost of the policy
✔✔What type of whole life insurance policies only requires a payment of premium at its
inception, and in addition to providing insurance protection for the life of the insured,
endows at the insured's age 100? - ✔✔Single premium whole life
✔✔What type of insurance would perform the function of cash accumulation? -
✔✔Whole Life Insurance
✔✔What are the two components of a universal policy? - ✔✔Insurance and cash
account
✔✔Which Universal Life option has a gradually increasing cash value and a level death
benefit? - ✔✔Option A
✔✔What policies would have an IRS required corridor or gap between the cash value
and the death benefit? - ✔✔Universal Life, Option A
✔✔What is the main difference between immediate and deferred annuities? - ✔✔When
the income payments begin
✔✔In a survivorship life policy, when does the insurer pay the death benefit? - ✔✔Upon
the last death
✔✔Upon the death of the insured, the primary beneficiary discovers that the insured
chose the interest only settlement option. What does this mean? - ✔✔The beneficiary
will only receive payments of the interest earned on the death benefit
✔✔What happens to a policy's cash value under an extended term nonforfeiture option?
- ✔✔The cash value is converted to the same face amount as in the whole life policy
✔✔What nonforfeiture option is automatically selected by the company if not chosen by
the policyowner? - ✔✔Extended Term
✔✔What is the purpose of settlement options in life insurance policies? - ✔✔to
determine how the death benefit will be paid to the beneficiary
✔✔What is the life insurance policy rider that provides coverage on the insured's family
members? - ✔✔Other-Insured Rider
QUESTIONS AND ANSWERS SURE A+
✔✔What best describes gross annual premium? - ✔✔Net premium plus expenses
✔✔What is the appropriate action by the insurer if a prospective insured submitted an
incomplete application? - ✔✔Return the application to the applicant for completion
✔✔What is a statement that is guaranteed to be true, and if untrue, may breach an
insurance contract? - ✔✔Warranty
✔✔What is the minimum interest rate on an equity indexed annuity often based? -
✔✔An index like Standard & Poor's 500
✔✔What annuity settlement option provides income payments to the annuitant for the
duration of their life and also guarantees payment for a specified number of years? -
✔✔Life income with period certain
✔✔If the annuitant dies before the annuitization period starts, what will beneficiary
receive? - ✔✔Either the amount paid into the annuity or cash value, whichever is
greater
✔✔In annually renewable term policies, what is the annual premium based upon? -
✔✔The insured's attained age
✔✔If the annuitant dies during the accumulation period, who will receive the annuity
benefits? - ✔✔The beneficiary
✔✔What does the term "level" refer to in level term insurance? - ✔✔Face amount
✔✔What type of life insurance is best suited to cover a mortgage? - ✔✔Decreasing
term
,✔✔Who receives income payments from an annuity? - ✔✔Annuitant
✔✔What type of premium is charged on a straight life policy? - ✔✔A level premium for
the life of the insured
✔✔In variable universal life insurance, to what policy component does the term
"variable" refer? - ✔✔Cash value and death benefit
✔✔A whole policy that requires that the policyowner only pays premiums for a specified
number of years is known as what kind of policy? - ✔✔Limited-Pay Whole Life
✔✔In an annuity, the accumulated money is converted into a stream of income during
which phase? - ✔✔Annuitization period
✔✔Whose life expectancy is taken into consideration in an annuity contract? - ✔✔The
annuitant
✔✔What type of life insurance offers an applicant a cash value element? -
✔✔Permanent Insurance
✔✔Mortality tables are used by insurance companies to predict what? - ✔✔Life
expectancy and the death rates for specific groups of individuals
✔✔If there is no named beneficiary for the annuity benefits, to which entity will the
benefits be paid? - ✔✔The annuitant's estate
✔✔How soon can income payments begin in an immediate annuity? - ✔✔No later than
1 year from the time of annuity purchase
✔✔What type of annuity requires an agent to have a securities license? - ✔✔Variable
annuity
✔✔What policy loans are not available on term insurance? - ✔✔There is no cash value
to borrow against
✔✔An individual has a contract that will provide them with a certain amount of income
for the rest of their life, however, this is not a life insurance policy. What type of contract
does this person have? - ✔✔Annuity
✔✔How long will a life annuity with a 15-year period certain pay? - ✔✔For the life of the
annuitant unless they die within the first 15 years of the annuitization period; then the
payments will last 15 years
, ✔✔When does an adjustable life policy accumulate cash value? - ✔✔When the
premiums paid are more than the cost of the policy
✔✔What type of whole life insurance policies only requires a payment of premium at its
inception, and in addition to providing insurance protection for the life of the insured,
endows at the insured's age 100? - ✔✔Single premium whole life
✔✔What type of insurance would perform the function of cash accumulation? -
✔✔Whole Life Insurance
✔✔What are the two components of a universal policy? - ✔✔Insurance and cash
account
✔✔Which Universal Life option has a gradually increasing cash value and a level death
benefit? - ✔✔Option A
✔✔What policies would have an IRS required corridor or gap between the cash value
and the death benefit? - ✔✔Universal Life, Option A
✔✔What is the main difference between immediate and deferred annuities? - ✔✔When
the income payments begin
✔✔In a survivorship life policy, when does the insurer pay the death benefit? - ✔✔Upon
the last death
✔✔Upon the death of the insured, the primary beneficiary discovers that the insured
chose the interest only settlement option. What does this mean? - ✔✔The beneficiary
will only receive payments of the interest earned on the death benefit
✔✔What happens to a policy's cash value under an extended term nonforfeiture option?
- ✔✔The cash value is converted to the same face amount as in the whole life policy
✔✔What nonforfeiture option is automatically selected by the company if not chosen by
the policyowner? - ✔✔Extended Term
✔✔What is the purpose of settlement options in life insurance policies? - ✔✔to
determine how the death benefit will be paid to the beneficiary
✔✔What is the life insurance policy rider that provides coverage on the insured's family
members? - ✔✔Other-Insured Rider
