LIFE INSURANCE EXAM QUESTIONS AND CORRECT RATIONALES

LIFE INSURANCE EXAM QUESTIONS AND CORRECT RATIONALES

, Test c3


Multiple cChoice
Identify cthe cchoice cthat cbest ccompletes cthe cstatement cor canswers cthe cquestion.

1. What care cthe cbenefits cof cinvesting cin cinsurance cplans?
a. In cFamily cProtection c. Retirement cplanning
b. Child ceducation c& cmarriage d. All cof cthe cabove
cplanning


ANSWER: D


2. Insurance cis cmeant cto?
a. Prevent cspecified cevents c. Compensate cfor closses cfrom
cspecified
events
b. Prevent cdamage cto cassets d. Rebuild cthe cassets clost cbecause cof
from c specified cevents specified cevents

ANSWER: C


3. Insurance cis cnecessary cbecause?
a. Assets cdepreciate cover ctime cand c. All cof cthe cabove
through cusage
b. Assets cmay cbe cdamaged cby d. None cof cthe
cexternal cabove
causes

ANSWER: B


4. Insurance cworks con cthe cprinciple cof?
a. Mutual chelp c. All cof cthe cabove
b. Charity d. None cof cthe
cabove


ANSWER: A


5. Insurance cworks con cthe cprinciple cof?
a. Equal ccontributions c. Contributions cdependent
con
affordability
b. Proportional ccontributions d. None cof cthe cabove

ANSWER: B