LOMA 281 Module 2 Questions And Correct Answers 20242025 (G... file:///C:/Users/Pavilion/Downloads/LOMA%20281%20Module%2
LOMA 281 Module 2 Questions And Correct Answers
2024/2025 (GRADED A+)
1. Which type of whole life insurance policy will best be able to give Arabella
lifetime protection without straining her retirement income?
Single-premium whole life policy
Limited-payment whole life policy
Continuous-premium whole life policy: B
2. Financial needs life insurance can meet: - paying household expenses
- covering outstanding debts
1 of 142 01/09/2024, 13
,LOMA 281 Module 2 Questions And Correct Answers 20242025 (G... file:///C:/Users/Pavilion/Downloads/LOMA%20281%20Module%2
- Paying outstanding medical, hospital, and funeral expenses,
- providing financial support for the family
- funding a child's education
3. Term Life Insurance: Life insurance that provides a death benefit only if the
insured dies during the period specified in the policy.
4. level term life insurance: Term life insurance that provides a policy benefit that
remains the same over the term of the policy.
5. Decreasing Term Life Insurance: Term life insurance that provides a policy
benefit that decreases in amount over the term of coverage
6. Mortgage Insurance: A plan of decreasing term insurance designed to provide
a benefit amount that corresponds to the decreasing amount owed on a
2 of 142 01/09/2024, 13
,LOMA 281 Module 2 Questions And Correct Answers 20242025 (G... file:///C:/Users/Pavilion/Downloads/LOMA%20281%20Module%2
mortgageloan.
7. When Michael bought a house, he obtained a mortgage loan from the
Archway Bank. He also bought a mortgage insurance policy from Able Life.
Is Archway Bank a party to Michael's mortgage insurance contract with Able
Life?
a. yes
b. no: B.
8. Who can Michael name as the beneficiary of his mortgage insurance policy?
a. His Wife Only
3 of 142 01/09/2024, 13
,LOMA 281 Module 2 Questions And Correct Answers 20242025 (G... file:///C:/Users/Pavilion/Downloads/LOMA%20281%20Module%2
b. Archway Bank Only
c. His Wife, Archway Bank, or Someone Else: C.
9. If Michael names his wife as the policy beneficiary, does she have to use the
policy proceeds to repay the mortgage loan?
a. yes
b. no: B.
4 of 142 01/09/2024, 13
LOMA 281 Module 2 Questions And Correct Answers
2024/2025 (GRADED A+)
1. Which type of whole life insurance policy will best be able to give Arabella
lifetime protection without straining her retirement income?
Single-premium whole life policy
Limited-payment whole life policy
Continuous-premium whole life policy: B
2. Financial needs life insurance can meet: - paying household expenses
- covering outstanding debts
1 of 142 01/09/2024, 13
,LOMA 281 Module 2 Questions And Correct Answers 20242025 (G... file:///C:/Users/Pavilion/Downloads/LOMA%20281%20Module%2
- Paying outstanding medical, hospital, and funeral expenses,
- providing financial support for the family
- funding a child's education
3. Term Life Insurance: Life insurance that provides a death benefit only if the
insured dies during the period specified in the policy.
4. level term life insurance: Term life insurance that provides a policy benefit that
remains the same over the term of the policy.
5. Decreasing Term Life Insurance: Term life insurance that provides a policy
benefit that decreases in amount over the term of coverage
6. Mortgage Insurance: A plan of decreasing term insurance designed to provide
a benefit amount that corresponds to the decreasing amount owed on a
2 of 142 01/09/2024, 13
,LOMA 281 Module 2 Questions And Correct Answers 20242025 (G... file:///C:/Users/Pavilion/Downloads/LOMA%20281%20Module%2
mortgageloan.
7. When Michael bought a house, he obtained a mortgage loan from the
Archway Bank. He also bought a mortgage insurance policy from Able Life.
Is Archway Bank a party to Michael's mortgage insurance contract with Able
Life?
a. yes
b. no: B.
8. Who can Michael name as the beneficiary of his mortgage insurance policy?
a. His Wife Only
3 of 142 01/09/2024, 13
,LOMA 281 Module 2 Questions And Correct Answers 20242025 (G... file:///C:/Users/Pavilion/Downloads/LOMA%20281%20Module%2
b. Archway Bank Only
c. His Wife, Archway Bank, or Someone Else: C.
9. If Michael names his wife as the policy beneficiary, does she have to use the
policy proceeds to repay the mortgage loan?
a. yes
b. no: B.
4 of 142 01/09/2024, 13
