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Primerica guarantee test questions and answers fully solved
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Primerica guarantee test questions
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Primerica guarantee test questionsGuaranteeing future dividends is considered to be an unfair or deceptive act known as -
answer Twisting
An applicant for a disability insurance policy has a heart condition of which they are
unaware and therefore they answer no to the question pertaining to heart problems on
their application. Their answer is considered to be - answer Representation.
If the Insurance Commissioner believes that an insurer has engaged in an unfair
method of competition, what may the Commissioner issue? - answer Cease and desist
order
The manner and/or frequency that the policyowner pays the policy premium is called -
answer Premium mode.
Which of the following statements is true regarding SIMPLE plans? - answer
Contributions and earnings are tax-deferred until funds are withdrawn.
To which of the following do replacement regulations apply in this state? - answer
Whole Life
What guarantees that the information explained in the insurance contract is true? -
answera warranty
When term insurance is added to the main policy to enhance the policy or provide
added benefit or coverage, it is called - answerTerm rider.
If an applicant submits the initial premium with an application which action constitutes
acceptance? - answerThe underwriters approve the application.
Which of the following bears the investment risk in a variable life insurance policy? -
answerThe policy owner
What is the maximum period for a temporary license in this state? - answer6 months
Which of the following individuals would be a likely candidate to purchase a deferred
annuity? - answerSomeone who wants to grow retirement funds tax deferred
Which of the following types of insurance is investment based, has a level fixed
premium, and a non guaranteed cash value? - answerVariable whole life
, The provision that sets forth the basic agreement between the insurer and the insured
and states the insurer's promise to pay the death benefit upon the insured's death is
called the - answerInsuring clause.
For how many years must a life insurance policy be in effect until the policyowner may
be able to take out a policy loan? - answer3 years
With Adjustable Life, the owner can change all of the following EXCEPT - answerthe
length of time the coverage will last
An employee dies having 6 quarters of coverage during the previous 13-quarter period.
What status of coverage does the employee have under Social Security? -
answercurrently insured
Which of the following are characteristics of term life insurance? - answerTemporary
protection, renewability, no cash value
Which of the following is a permissible reason for an insurance company to contest
payment of a claim based on statements in the application? - answerthe application
contains material misstatements
If an insured dies, and it is discovered that the insured misstated his/her age or gender,
the life insurance company will - answerAdjust the death benefit to what the premium
would have purchased at the actual age or gender.
In order to reinstate a life insurance policy the insured must do all of the following
EXCEPT - answerPay any interest due on back premiums.
Which of the following would be likely to establish a SEP? - answerSmall employers
Cash Value guarantees in a whole life policy are called - answerNonforfeiture values.
A stock insurer is defined as an insurer - answerOwned by its stockholders.
Which of the following is NOT an example of the company's location of incorporation? -
answerauthorized
Which of the following would be TRUE of both the fixed-period and fixed-amount
settlement options? - answerBoth guarantee that the principal and interest will be fully
paid out.
Which of the following is true regarding pure life annuity settlement options? - answerIt
provides the highest monthly benefit.
An annuity owner receives the same guaranteed payment every month. What type of
annuity is it? - answerfixed
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