NWM NORTH CAROLINA LIFE INSURANCE EXAM QUESTIONS WITH CORRECT ANSWERS 2025

NWM NORTH CAROLINA LIFE INSURANCE EXAM
QUESTIONS WITH CORRECT ANSWERS 2025
WhenUaUreducedUpaidUupUnonforfeitureUoptionUisUchosen,UwhatUhappensUtoUtheUfaceUamountUofUtheUpoli
cy?U-UCORRECTUANSWERU-
ItUisUreducedUtoUtheUamountUofUwhatUtheUcashUvalueUwouldUbuyUasUaUsingleUpremium



WhichUofUtheUfollowingUareUnotUfundableUbyUannuities?U-UCORRECTUANSWERU-deathUbenefits



StatingUthatUanUinsurer'sUpoliciesUareUguaranteedUbyUtheUexistenceUofUtheULifeUandUHealthUGuarantyUAsso
ciationUisU-UCORRECTUANSWERU-AnUunfairUtradeUpractice



groupUlifeUinsuranceUisUaUsingleUpolicyUwrittenUtoUprovideUcoverageUtoUmembersUofUaUgroup.UWhichUofUth
eUfollowingUstatementsUconcerningUgroupUlifeUisUcorrect?U-UCORRECTUANSWERU-
100%UparticipationUofUmembersUisUrequiredUinUnoncontributoryUplans



InUmodifiedUlifeUpolicies,UwhatUhappensUtoUtheUpremium?U-UCORRECTUANSWERU-
ItUisUlevelUatUtheUbeginningUbutUincreasesUafterUtheUfirstUfewUyears



allUotherUfactorsUbeingUequal,UwhatUwouldUtheUpremiumUbeUlikeUinUaUsurvivorshipUlifeUpolicyUasUcompared
UtoUtheUpremiumUinUaUjointUlifeUpolicy?U-UCORRECTUANSWERU-Lower




TheUtypeUofUinsuranceUsoldUtoUaUdebtorUandUdesignedUtoUpayUtheUamountUdueUonUaUloanUifUtheUdebtorUdi
esUbeforeUtheUloanUisUrepaidUisUcalledU-UCORRECTUANSWERU-creditUlife



whichUofUtheUfollowingUstatementsUconcerningUbuyUsellUagreementsUisUtrueU-UCORRECTUANSWERU-
BuyUsellUagreementsUareUnormallyUfundedUwithUaUlifeUinsuranceUpolicy



WhichUuniversalUlifeUoptionUhasUaUgraduallyUincreasingUcashUvalueUandUaUlevelUdeathUbenefit?U-
UCORRECTUANSWERU-OptionUA




AUmanUdecidedUtoUpurchaseU$100,000UannuallyUrenewableUtermUlifeUpolicyUtoUprovideUadditionalUprotect
ionUuntilUhisUchildrenUfinishedUcollege.UHeUdiscoveredUthatUthisUpolicyU-UCORRECTUANSWERU-
requiredUaUpremiumUincreaseUeachUrenewal

, AnUinsurerUneglectsUtoUpayUaUlegitimateUclaimUthatUisUcoveredUunderUtheUtermsUofUtheUpolicy.UWhichUofUt
heUfollowingUinsuranceUprinciplesUhasUtheUinsurerUviolated?U-UCORRECTUANSWERU-consideration



anUindividualUhasUbeenUdiagnosedUwithUAlzheimer'sUdisease.UHeUisUinsuredUunderUaUlifeUinsuranceUpolicyU
withUtheUacceleratedUbenefitsUrider.UWhichUofUtheUfollowingUisUtrueUregardingUtaxationUofUtheUaccelerated
Ubenefits?U-UCORRECTUANSWERU-

AUportionUofUtheUbenefitUupUtoUaUlimitUisUtaxUfree;UtheUrestUisUtaxableUincome



InUcasesUwhereUtheUCommissionerUshallUfindUuponUsubstantialUevidenceUthatUanyUcomplaintUagainstUaUco
mpanyUisUjustified,UinUadditionUtoUanyUpenalties,UtheUcompanyUshall..U-UCORRECTUANSWERU-
alsoUbeUliableUforUtheUexpensesUofUtheUinvestigation



WhichUofUtheUfollowingUisUincorrectUconcerningUaUnoncontributoryUgroupUplan?U-UCORRECTUANSWERU-
theUemployeesUreceiveUindividualUpolicies



howUlongUisUaUfreeUlookUperiodUforUreplacementUpolicies?U-UCORRECTUANSWERU-30Udays



HowUlongUdoesUaUNorthUCarolinaUAgentUhaveUtoUnotifyUtheUDepartmentUofUinsuranceUinUtheUeventUofUaUc
hangeUinUresidenceUaddress?U-UCORRECTUANSWERU-10UbusinessUdays



WhichUofUtheUfollowingUisUcalledUaU"secondUtoUdie"Upolicy?U-UCORRECTUANSWERU-survivorshipUlife



whichUofUtheUfollowingUpoliciesUwouldUhaveUanUirsUrequiredUcorridorUorUgapUbetweenUtheUcashUvalueUand
UtheUdeathUbenefitU-UCORRECTUANSWERU-universalUlifeU-UoptionUa




VariableUlifeUinsuranceUisUbasedUonUwhatUkindUofUpremium?U-UCORRECTUANSWERU-LevelUfixed



Children'sUridersUattachedUtoUwholeUlifeUpoliciesUareUusuallyUissuedUasUwhatUtypeUofUinsurance?U-
UCORRECTUANSWERU-term




twinUbrothersUareUstartingUaUnewUbusiness.UTheyUknowUitUwillUtakeUseveralUyearsUtoUbuildUtheUbusinessUto
UtheUpointUthatUtheyUcanUpayUoffUtheUdebtUincurredUinUstartingUtheUbusiness.UWhatUtypeUofUinsuranceUwo