Life Insurance Licensing Test, primerica questions with correct answers

Which of the following situations requires a person to be licensed? - Ans - Receive commissions The settlement option that would provide a beneficiary with the largest monthly income from a life insurance death benefit is called - Ans - Straight life Which of the following contains the company's promise to pay the benefits of a policy - Ans - Insuring clause The provision that allows an insurer to deduct premiums from the policy's cash value to prevent the policy from lapsing is a(n) - Ans - Automatic premium loan A whole life insurance policy in which the cash value builds faster than a 7-PAY whole life policy is called a(n) - Ans - Modified endowment contract Which life nonforfeiture option provides lifetime coverage? - Ans - Reduced paid-up Four individuals, each 35 years old, purchase the life insurance policies listed below. Which policy will have the largest cash value after 10 years? - Ans - 20-pay life All marketing communications, regardless of their source, are the responsibility of the - Ans - Insurance company