Exam (elaborations)
FINAL EXAM - INDIANA LIFE, QUESTIONS AND ANSWERS
- Course
- Institution
FINAL EXAM - INDIANA LIFE, QUESTIONS AND ANSWERS
[Show more]
Content preview
FINAL EXAM - INDIANA LIFE,QUESTIONS AND ANSWERS
An IRA owner can start making withdrawals and NOT be subjected to a tax penalty
beginning at what age? - Answer-59 1/2
An ___ insurance company is one formed in a country other than the United States -
Answer-Alien
In Indiana , which of the following must be delivered to a policy owner upon the sale of
an individual life insurance policy? - Answer-A Policy Summary and Buyer's Guide
The ___ must provide an insured with proper disclosure concerning the replacement of
a life insurance policy - Answer-producer
An ___ term life policy is normally used when covering an insured mortgage balance -
Answer-Decreasing
P, age 50, purchased an annuity that P will fund with $500/ month for 15 years. The
annuity will then pay P retirement payments after the 15 years. Which type of annuity
did P purchase? - Answer-deferred
A domestic insurance company in Indiana must : - Answer-Be organized under Indiana
insurance laws
J is issued a Life Insurance policy with a death benefit of $100,000. She pays $600 per
year in premium for the first 5 years. The premium then increases to $900 per year in
the sixth year, and remains level thereafter. The policy's death benefit also remains at
$100,000. Which type of Life Insurance policy is this? - Answer-Modified Premium Life
Which of the following is an important underwriting principle of group life insurance? -
Answer-Everyone must be covered in the group
Which statement regarding a key employee life policy is NOT true ? - Answer-The
beneficiary is named by the key employee
If it's employees share in the cost of insurance, what type of group life insurance plan
would a corporation have? - Answer-Contributory
Which of the following life insurance policies combine term insurance with an
investment element? - Answer-Universal Life
, T, age 70, withdraws cash from a profit-sharing plan and purchases a Straight Life
Annuity. What will this transaction provide? - Answer-Income that cannot be outlived by
the owner
In the event of employment termination a person covered by a group policy also has the
right to convert such coverage to an individual policy within ___ days without proving
insurability - Answer-31 days
M had an annual life insurance premium payment due January 1. She died January 10
without making the premium payment. What action will the insurer take? - Answer-Pay
face amount minus the past due premium
C is trying to determine whether to convert her convertible term life policy to whole life
insurance using her original age or attained age. What factor would affect her decision
the most? - Answer-the cost
Which of the following statements about accumulated interest earned on dividends from
an insurance policy is true? - Answer-taxed as ordinary income
The type of annuity that can be purchased with one monetary deposit is called an ? -
Answer-Immediate annuity
In regards to representations or warranties, which of these statements is TRUE? -
Answer-If material to the risk, false representations will void a policy
A life insurance policy can be backdated before the application date for up to - Answer-6
months
A business entity acting as an insurance producer must - Answer-designate at least one
licensed producer to be responsible for the entity's compliance with the insurance laws
and rules
M purchased an Accidental Death and Dismemberment (AD&D) policy and named his
son as beneficiary. M has the right to change the beneficiary designation at anytime.
What type of beneficiary is his son? - Answer-Revocable
During the course of an insurance business transaction , who does the producer legally
represent? - Answer-insurance company
All are true statements regarding the underwriting process, EXCEPT: - Answer-AIDS
and HIV virus exams can be conducted in a discriminatory fashion
Which statement is true regarding a variable whole life policy ? - Answer-A minimum
guaranteed Death benefit is provided
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller biggdreamer. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $12.49. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
80189 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now