FPQP COMPLETE EXAMINATION TEST
QUESTIONS WITH VERIFIED SOLUTIONS
●● Life and Period Certain Annuity
Answer: income payments last for the lifetime of the annuitant, with a
minimum specified payment period granted
●● Pure Life Annuity
Answer: Income payments last for the lifetime of the annuitant. Once the
annuitant dies the payments stop.
●● What is a Joint and Survivor Annuity?
Answer: An annuity that makes income payments while both annuitants
are alive and provides some payment to the survivor after the death of
the other annuitant.
●● What is a key feature of Joint and Survivor Annuities for couples?
Answer: A higher amount is paid while both annuitants are alive, and a
reduced amount is paid to the survivor.
●● Individual Annuitant
Answer: Income payments are made to one person
,●● What is a Deferred Annuity?
Answer: Income payments will not start until a later date, usually a year
or more into the future.
●● What is a benefit of purchasing a Deferred Annuity?
Answer: It allows individuals to take advantage of the tax deferred
growth available with annuities.
●● Immediate Annuity
Answer: Income payments start within a short time after a single
payment is made, usually within six months. Individuals purchase
immediate annuities to provide an income stream for a time period, often
for life.
●● Flexible premium annuity
Answer: The premium deposit can be changed by the annuity owner at
any time, generally within specified limits.
●● Emotional Biases
Answer: Occur impulsively based on the feelings of an individua when a
choice is made.
●● The standards of professional Conduct - Diligence
Answer: Respond to reasonable client inquiries in a timely manner.
, ●● Variable annuity
Answer: The internal value of the annuity is invested, in varies separate
accounts that are similar to mutual funds. The value of the annuity can
increase or decrease meaning the annuity payments themselves can
increase or decrease.
●● What is reinstatement in life insurance?
Answer: The ability to reinstate a lapsed insurance policy within a
specified time period following failure to pay back premiums.
●● What must the insured provide to reinstate a lapsed life insurance
policy?
Answer: Evidence of insurability.
●● What must the insured pay before reinstating a lapsed life insurance
policy?
Answer: Back premiums and interest on the premiums.
●● Incontestability Provision
Answer: States that after a life insurance policy has been in effect for 2
years. The company may not claim that a statement made in the app for
insurance was meant to defraud the insurer.
QUESTIONS WITH VERIFIED SOLUTIONS
●● Life and Period Certain Annuity
Answer: income payments last for the lifetime of the annuitant, with a
minimum specified payment period granted
●● Pure Life Annuity
Answer: Income payments last for the lifetime of the annuitant. Once the
annuitant dies the payments stop.
●● What is a Joint and Survivor Annuity?
Answer: An annuity that makes income payments while both annuitants
are alive and provides some payment to the survivor after the death of
the other annuitant.
●● What is a key feature of Joint and Survivor Annuities for couples?
Answer: A higher amount is paid while both annuitants are alive, and a
reduced amount is paid to the survivor.
●● Individual Annuitant
Answer: Income payments are made to one person
,●● What is a Deferred Annuity?
Answer: Income payments will not start until a later date, usually a year
or more into the future.
●● What is a benefit of purchasing a Deferred Annuity?
Answer: It allows individuals to take advantage of the tax deferred
growth available with annuities.
●● Immediate Annuity
Answer: Income payments start within a short time after a single
payment is made, usually within six months. Individuals purchase
immediate annuities to provide an income stream for a time period, often
for life.
●● Flexible premium annuity
Answer: The premium deposit can be changed by the annuity owner at
any time, generally within specified limits.
●● Emotional Biases
Answer: Occur impulsively based on the feelings of an individua when a
choice is made.
●● The standards of professional Conduct - Diligence
Answer: Respond to reasonable client inquiries in a timely manner.
, ●● Variable annuity
Answer: The internal value of the annuity is invested, in varies separate
accounts that are similar to mutual funds. The value of the annuity can
increase or decrease meaning the annuity payments themselves can
increase or decrease.
●● What is reinstatement in life insurance?
Answer: The ability to reinstate a lapsed insurance policy within a
specified time period following failure to pay back premiums.
●● What must the insured provide to reinstate a lapsed life insurance
policy?
Answer: Evidence of insurability.
●● What must the insured pay before reinstating a lapsed life insurance
policy?
Answer: Back premiums and interest on the premiums.
●● Incontestability Provision
Answer: States that after a life insurance policy has been in effect for 2
years. The company may not claim that a statement made in the app for
insurance was meant to defraud the insurer.
