Ohio Life, Accident & Health Insurance Exam (Series 11-
35), Life Insurance Basics.
What type of report provides information about an applicant's hobbies, habits, and
financial status? - answer Investigative consumer report
What are the three factors that determine the premium for a particular life insurance
policy? - answer Mortality, interest, expense
How does the premium mode affect the total premium paid for insurance for the year? -
Answer Higher frequency of payments will result in higher overall premium
Can insurers advertise the existence of the guaranty association during solicitation and
sale of insurance policies? - answer No, advertising the existence of the guaranty
association for the purposes of solicitation and sale of insurance policies by the insurer
is an illegal business practice
What is the term that describes the frequency and amount of the premium payment -
answer Premium mode
If an applicant for a life insurance policy and the potential insured are two different
people, what would be the underwriter's main concern? - answer the existence of
insurable interest
A business is the owner and beneficiary of a key-person life policy. When the business
collects the policy benefit, how is it taxed? - Answer The benefit is received tax free
What document describes the specific information about a policy? - answer Policy
summary
Mortality tables are used by insurance companies to predict what? - answer Life
expectancy and death rates for specific groups of individuals
What are illustrations in a life insurance policy? - answer Presentations of non-
guaranteed elements in the policy
All other factors being equal, which premium payment mode would require a higher
overall premium: monthly or annual? - answer Monthly
When must insurable interest exist in a life insurance policy? - answer at the time of
application
What does liquidity mean in a life insurance policy? - answer Availability of cash value
35), Life Insurance Basics.
What type of report provides information about an applicant's hobbies, habits, and
financial status? - answer Investigative consumer report
What are the three factors that determine the premium for a particular life insurance
policy? - answer Mortality, interest, expense
How does the premium mode affect the total premium paid for insurance for the year? -
Answer Higher frequency of payments will result in higher overall premium
Can insurers advertise the existence of the guaranty association during solicitation and
sale of insurance policies? - answer No, advertising the existence of the guaranty
association for the purposes of solicitation and sale of insurance policies by the insurer
is an illegal business practice
What is the term that describes the frequency and amount of the premium payment -
answer Premium mode
If an applicant for a life insurance policy and the potential insured are two different
people, what would be the underwriter's main concern? - answer the existence of
insurable interest
A business is the owner and beneficiary of a key-person life policy. When the business
collects the policy benefit, how is it taxed? - Answer The benefit is received tax free
What document describes the specific information about a policy? - answer Policy
summary
Mortality tables are used by insurance companies to predict what? - answer Life
expectancy and death rates for specific groups of individuals
What are illustrations in a life insurance policy? - answer Presentations of non-
guaranteed elements in the policy
All other factors being equal, which premium payment mode would require a higher
overall premium: monthly or annual? - answer Monthly
When must insurable interest exist in a life insurance policy? - answer at the time of
application
What does liquidity mean in a life insurance policy? - answer Availability of cash value
