Life Insurance Primerica Exam Questions 100% Complete Solutions New Update

Life Insurance Primerica Exam Questions 100% Complete Solutions New Update Which will be included in a policy summary? - Premium amounts and surrender values Why should the producer personally deliver the policy when the first premium has already been paid? - To help the insured understand all aspects of the contract An insurance contract requires that both the insured and the insurer meet certain conditions in order for the contract to be enforceable. What contract characteristic does this describe? - Conditional If a policy includes a free-look period of at least 10 days, the Buyer's Guide may be delivered to the applicant - With the policy If an applicant for a life insurance policy is found to be a substandard risk, the insurance company is most likely to - Charge a higher premium Which of the following best details the underwriting process for life insurance? - Selection, classification, and rating of risks 2 | P a g e Author: Katelyn Whitman. ©2025, All Rights Reserved. Upon policy delivery, the producer may be required to obtain any of the following EXCEPT - Signed waiver of premium Which of the following is a risk classification used by underwriters for insurance? - Standard Which of the following documents delivered to the policy owner includes information about premium amounts, cash values, surrender values, and death benefits for specific policy years? - A policy summary When both parties to a contract must perform certain duties and follow rules of conduct to make the contract enforceable, the contract is - Conditional Representations are written or oral statements made by the applicant that are - Considered true to the best of the applicant's knowledge Most agents try to collect the initial premium for submission with the application. When an agent collects the initial premium from the applicant, the agent should issue the applicant a - Premium receipt All of the following are duties and responsibilities of producers at the time of application EXCEPT - Change any incorrect statement on the application by personally initialing next to the corrected statement (must be initialed by the applicant) 3 | P a g e Author: Katelyn Whitman. ©2025, All Rights Reserved. In insurance policies, the insured is not legally bound to any particular action in the insurance contract, but the insurer is legally obligated to pay losses covered by the policy. What contract element does this describe? - Unilateral An insurer neglects to pay a legitimate claim that is covered under the terms of the policy. Which of the following insurance principles has the insurer violated? - Consideration Which of the following is TRUE regarding the premium in term policies? - The premium is level Which of the following terms best describe the coverage provided by term policies, as compared to any other form of protection? - Greatest Which of the following types of insurance policies would provide the greatest amount of protection for a temporary period during which an insured will have limited financial resources? - Term A Return of Premium term life policy is written as what type of term coverage? - Increasing All of the following are true regarding a decreasing term policy EXCEPT - The payable premium amount steadily declines throughout the duration of the contract What does "level" refer to in level term insurance? - Face amount Which best describes annually renewable term insurance? - It is level term insurance 4 | P a g e Author: Katelyn Whitman. ©2025, All Rights Reserved. What characteristic makes whole life permanent protection? - Coverage until death or age 100 Which of the following types of policies will provide permanent protection? - Whole life A Straight Life policy has what type of premium? - A level annual premium for the life of the insured Which statement is NOT true regarding a Straight Life Policy? - It's premium steadily decreases over time, in response to its growing cash value Which of the following policies would be classified as a traditional level premium contract? - Straight Life An insurance policy that only requires a payment of premium at its inception, provides insurance protection for the life of the insured, and matures at the insured's age of 100 is called - Single premium whole life Your client wants both protection and savings from the insurance, and is willing to pay premiums until retirement at age 65. What would be the right policy for this client? - Limited pay whole life Which statement is NOT true regarding a Straight Life policy? - It's premium steadily decreases over time, in response to its growing