XCEL VIRGINIA LIFE INSURANCE EXAM SIMULATOR
COMPLETE QUESTIONS AND DETAILED SOLUTIONS LATEST UPDATE
JUST RELEASED
Question 1: which of the following is considered an unfair claims
settlement practice
Answer:
failure to investigate or pay legitimate claims
Question 2: which of the following is not an intended use of an
annuity
Answer:
create new funds upon the death of a wage-earner
Question 3: When does the producer give a premium receipt for a
life insurance application?
Answer:
when the initial premium has been paid with the application
Question 4: the absolute assignment of a life insurance policy
results in
Answer:
all incidents of ownership transferred to the assignee
Question 5: a nonparticipating whole life insurance policy was
surrendered for its 20,000 cash value. The total premiums paid had
,totaled 16,000. What were the federal income tax consequences to
the policyowner on receipt of the cash value?
Answer:
16,000 was received tax free and 4,000 as ordinary income
Question 6: An agent's insurance records must be provided to the
State Corporation Commission
Answer:
upon request of the state corporation commission
Question 7: what type of life insurance policy covers two or more
persons and pays the face amount upon the death of the first
insured
Answer:
join life
Question 8: which statement concerning a deferred annuity
contract is correct?
Answer:
the owner can be the beneficiary, annuitant, or neither
Question 9: the authority to change the beneficiary in an individual
annuity lies with the
Answer:
owner
,Question 10: which of these is a true statement regarding survivor
benefits under a qualified retirement plan?
Answer:
survivor benefits can only be waived with the written consent of a married
employees spouse
Question 11: All parties involved
Answer:
owner
Question 12: the initial premium for a life insurance policy is
typically paid in what way?
Answer:
it is typically obtained by the producer and forwarded to the insurer
Question 13: With life insurance, the needs approach is used
primarily in determining
Answer:
how much life insurance a client should apply for
Question 14: which of these is not an unfair claims settlement
practice
Answer:
refusing to pay persons bringing false or fraudulent claims
, Question 15: all of these statements correctly describe an aleatory
contract except
Answer:
only one party makes any kind of legally enforceable offer
Question 16: insurable interest involves what assumption
Answer:
One person benefits from another person's continued life
Question 17: The premiums paid by an employer for his employee's
group life insurance are usually considered to be
Answer:
tax-deductible to the employer
Question 18: How do benefit payments fluctuate over time in a
variable life annuity?
A) Benefit payments stay fixed
B) Reflects changes in the market value of assets in a separate
account
C) Annuitant controls any benefit payment changes
D) Any benefit payment fluctuations have to be approved in writing by
the owner
Answer:
reflects changes in the market value of assets in a separate account
Question 19: which of these is not an advantage of term life
insurance
COMPLETE QUESTIONS AND DETAILED SOLUTIONS LATEST UPDATE
JUST RELEASED
Question 1: which of the following is considered an unfair claims
settlement practice
Answer:
failure to investigate or pay legitimate claims
Question 2: which of the following is not an intended use of an
annuity
Answer:
create new funds upon the death of a wage-earner
Question 3: When does the producer give a premium receipt for a
life insurance application?
Answer:
when the initial premium has been paid with the application
Question 4: the absolute assignment of a life insurance policy
results in
Answer:
all incidents of ownership transferred to the assignee
Question 5: a nonparticipating whole life insurance policy was
surrendered for its 20,000 cash value. The total premiums paid had
,totaled 16,000. What were the federal income tax consequences to
the policyowner on receipt of the cash value?
Answer:
16,000 was received tax free and 4,000 as ordinary income
Question 6: An agent's insurance records must be provided to the
State Corporation Commission
Answer:
upon request of the state corporation commission
Question 7: what type of life insurance policy covers two or more
persons and pays the face amount upon the death of the first
insured
Answer:
join life
Question 8: which statement concerning a deferred annuity
contract is correct?
Answer:
the owner can be the beneficiary, annuitant, or neither
Question 9: the authority to change the beneficiary in an individual
annuity lies with the
Answer:
owner
,Question 10: which of these is a true statement regarding survivor
benefits under a qualified retirement plan?
Answer:
survivor benefits can only be waived with the written consent of a married
employees spouse
Question 11: All parties involved
Answer:
owner
Question 12: the initial premium for a life insurance policy is
typically paid in what way?
Answer:
it is typically obtained by the producer and forwarded to the insurer
Question 13: With life insurance, the needs approach is used
primarily in determining
Answer:
how much life insurance a client should apply for
Question 14: which of these is not an unfair claims settlement
practice
Answer:
refusing to pay persons bringing false or fraudulent claims
, Question 15: all of these statements correctly describe an aleatory
contract except
Answer:
only one party makes any kind of legally enforceable offer
Question 16: insurable interest involves what assumption
Answer:
One person benefits from another person's continued life
Question 17: The premiums paid by an employer for his employee's
group life insurance are usually considered to be
Answer:
tax-deductible to the employer
Question 18: How do benefit payments fluctuate over time in a
variable life annuity?
A) Benefit payments stay fixed
B) Reflects changes in the market value of assets in a separate
account
C) Annuitant controls any benefit payment changes
D) Any benefit payment fluctuations have to be approved in writing by
the owner
Answer:
reflects changes in the market value of assets in a separate account
Question 19: which of these is not an advantage of term life
insurance
