bankers life final exam Questions and
Answers 100% Verified
B the producer is scheduled for a retail hearing in a criminal prosecution. which of
the following does not need to be submitted to the insurance commissioner prior to
B's hearing - ANSWER-the posted bond
K failed to pay a renewal premium within the time granted by the insurer. K then
sends in a payment which the insurer subsequently accepts. Which policy provision
specifies that coverage may be restored in this situation? - ANSWER-Reinstatement
All are true statements regarding the underwriting process, EXCEPT: - ANSWER-
AIDS and HIV virus exams can be conducted in a discriminatory fashion
M has an insurance policy that also has an outstanding policy loan at the time of M's
death. The insurer will deduct the outstanding loan balance from the - ANSWER-
policy proceeds
B receives yearly dividends and interest from a participating life insurance policy.
Which of these should B include as gross income for federal income tax purposes? -
ANSWER-Interest only
All of the following statements regarding group health insurance is true, EXCEPT -
ANSWER-An individual policy is given to each member
According to the Time Payment of Claims provision, the insurer must pay Disability
Income benefits no less frequently than which of the following options? - ANSWER-
monthly
Life insurance death benefits up to _____ are guaranteed by the West Virginia Life
and Health Guaranty Association - ANSWER-$300,000
Which of these are not an example of a nonforfeiture option - ANSWER-Life Income
In a disability income policy, which of these clauses acts as a deductible - ANSWER-
Elimination period
what is the purpose of the West virginia life and health insurance guaranty
association - ANSWER-ensures that claims filed against insolvent insurance
companies will be paid
Convincing a prospective insured to buy an insurance policy based on exaggerations
is called - ANSWER-Misrepresentation
, Which of these do NOT constitute policy delivery? - ANSWER-Policy issued with a
rating
Stock Insurance Company - ANSWER-is owned by stockholders or shareholders
which of the following types of permanent life insurance polices offers the highest
initial cash value? - ANSWER-single premium
limited pay
straight whole
interest sensitive
single premium
P the producer reports to the insurance commissioner a final disposition of an
administrative action taken against him. this report must - ANSWER-include a copy
of the order
When an insured has the same disability within a specified time period and the
insurance company provides the same benefits without a new waiting period, the
second disability is covered under which of the following benefits? - ANSWER-
Recurrent Disability
An example of false advertising would be - ANSWER-An insurer exaggerating its
dividends in a magazine advertisement
when making a recommendation to a consumer to purchase an annuity, the
producer must make reasonable efforts to obtain suitability information. Suitability
information includes - ANSWER-age, annual income, financial experience
T is an insurance license applicant who intends to primarily engage in insurance
transactions on himself and his family. If the insurance department is made aware of
this, T will most likely - ANSWER-not be issued a license
Which of the following statement is correct about the insurance commissioners
authority to examine the business of a producer - ANSWER-the commissioner has
no authority to examine them
the - may examine them whenever its deemed necessary
the - must examine them at least twice every five years
the - must examine them at least twice every three years
deemed necessary
If a contract of adhesion contains complicated language, to whom would the
interpretation be in favor of? - ANSWER-insured
all of the following statements regarding a tax sheltered annuity (TSA) are true
except - ANSWER-income derived from he TSA is received income tax free
TSAs are available to public school employees
contributions to the TSA are tax deductible
interest earned by the TSA is tax deferred
Answers 100% Verified
B the producer is scheduled for a retail hearing in a criminal prosecution. which of
the following does not need to be submitted to the insurance commissioner prior to
B's hearing - ANSWER-the posted bond
K failed to pay a renewal premium within the time granted by the insurer. K then
sends in a payment which the insurer subsequently accepts. Which policy provision
specifies that coverage may be restored in this situation? - ANSWER-Reinstatement
All are true statements regarding the underwriting process, EXCEPT: - ANSWER-
AIDS and HIV virus exams can be conducted in a discriminatory fashion
M has an insurance policy that also has an outstanding policy loan at the time of M's
death. The insurer will deduct the outstanding loan balance from the - ANSWER-
policy proceeds
B receives yearly dividends and interest from a participating life insurance policy.
Which of these should B include as gross income for federal income tax purposes? -
ANSWER-Interest only
All of the following statements regarding group health insurance is true, EXCEPT -
ANSWER-An individual policy is given to each member
According to the Time Payment of Claims provision, the insurer must pay Disability
Income benefits no less frequently than which of the following options? - ANSWER-
monthly
Life insurance death benefits up to _____ are guaranteed by the West Virginia Life
and Health Guaranty Association - ANSWER-$300,000
Which of these are not an example of a nonforfeiture option - ANSWER-Life Income
In a disability income policy, which of these clauses acts as a deductible - ANSWER-
Elimination period
what is the purpose of the West virginia life and health insurance guaranty
association - ANSWER-ensures that claims filed against insolvent insurance
companies will be paid
Convincing a prospective insured to buy an insurance policy based on exaggerations
is called - ANSWER-Misrepresentation
, Which of these do NOT constitute policy delivery? - ANSWER-Policy issued with a
rating
Stock Insurance Company - ANSWER-is owned by stockholders or shareholders
which of the following types of permanent life insurance polices offers the highest
initial cash value? - ANSWER-single premium
limited pay
straight whole
interest sensitive
single premium
P the producer reports to the insurance commissioner a final disposition of an
administrative action taken against him. this report must - ANSWER-include a copy
of the order
When an insured has the same disability within a specified time period and the
insurance company provides the same benefits without a new waiting period, the
second disability is covered under which of the following benefits? - ANSWER-
Recurrent Disability
An example of false advertising would be - ANSWER-An insurer exaggerating its
dividends in a magazine advertisement
when making a recommendation to a consumer to purchase an annuity, the
producer must make reasonable efforts to obtain suitability information. Suitability
information includes - ANSWER-age, annual income, financial experience
T is an insurance license applicant who intends to primarily engage in insurance
transactions on himself and his family. If the insurance department is made aware of
this, T will most likely - ANSWER-not be issued a license
Which of the following statement is correct about the insurance commissioners
authority to examine the business of a producer - ANSWER-the commissioner has
no authority to examine them
the - may examine them whenever its deemed necessary
the - must examine them at least twice every five years
the - must examine them at least twice every three years
deemed necessary
If a contract of adhesion contains complicated language, to whom would the
interpretation be in favor of? - ANSWER-insured
all of the following statements regarding a tax sheltered annuity (TSA) are true
except - ANSWER-income derived from he TSA is received income tax free
TSAs are available to public school employees
contributions to the TSA are tax deductible
interest earned by the TSA is tax deferred
