Question 1

The policy feature that allows you to pay the premium late but still retain coverage is known as the

Accepted Answer

A)  loan clause. 
B)  nonforfeiture clause. 
C)  incontestability clause. 
D)  grace period. 
E)  policy reinstatement clause. 
A)  loan clause. 
B)  nonforfeiture clause. 
C)  incontestability clause. 
D)  grace period. 
E)  policy reinstatement clause.

Question 2

Statisticians who specialize in estimating the probability of death based on personal characteristics are known as

Accepted Answer

A)  insurance adjusters. 
B)  vultures. 
C)  actuaries. 
D)  beneficiaries. 
A)  insurance adjusters. 
B)  vultures. 
C)  actuaries. 
D)  beneficiaries.

Question 3

What is the purpose of companies such as A.M.Best,Moody's and Standard & Poor's?

Accepted Answer

A)  They sell life insurance directly to consumers without agents. 
B)  They evaluate and rate the financial stability of the insurance industry. 
C)  They provide reinsurance coverage to the insurance industry. 
D)  They sell low cost term insurance via the Internet. 
A)  They sell life insurance directly to consumers without agents. 
B)  They evaluate and rate the financial stability of the insurance industry. 
C)  They provide reinsurance coverage to the insurance industry. 
D)  They sell low cost term insurance via the Internet.

Question 4

The main disadvantage of a flexible spending plan is that you may lose any money remaining in the account at the end of the fiscal year.

Accepted Answer

A) True 
 B)False

Question 5

Individual practice association,group practice,and point-of-service plans are the three basic types of

Accepted Answer

A)  Blue Cross Blue Shield plans. 
B)  traditional indemnity plans. 
C)  major medical expense plans. 
D)  health maintenance organizations. 
E)  fee-for-service policies. 
A)  Blue Cross Blue Shield plans. 
B)  traditional indemnity plans. 
C)  major medical expense plans. 
D)  health maintenance organizations. 
E)  fee-for-service policies.

Question 6

There are some health care providers who do not accept flexible spending account payments.

Accepted Answer

A) True 
 B)False

Question 7

Health insurance not only pays for your medical bills but also provides you with replacement income while you are unable to work.

Accepted Answer

A) True 
 B)False

Question 8

Describe the disability insurance features that make sense.

Accepted Answer

1. Choose a plan with a definition of di

Question 9

One of the best features of term insurance is that you are able to borrow against the face value.

Accepted Answer

A) True 
 B)False

Question 10

With decreasing term insurance,each time the term insurance is renewed the premium decreases.

Accepted Answer

A) True 
 B)False

Question 11

The Patient Protection and Affordable Care Act was signed into law in 2010;however many of its aspects do not go into effect until 2020.

Accepted Answer

A) True 
 B)False

Question 12

Your agent argues in favor of cash-value life insurance.You counteract with term to

Accepted Answer

A)  have a larger policy and keep things simple. 
B)  enjoy a relatively low cost per each $1,000 of coverage. 
C)  have a lot of insurance at affordable prices when you need it the most. 
D)  save the difference you would pay, invest it, and come out ahead. 
E)  all of the above. 
A)  have a larger policy and keep things simple. 
B)  enjoy a relatively low cost per each $1,000 of coverage. 
C)  have a lot of insurance at affordable prices when you need it the most. 
D)  save the difference you would pay, invest it, and come out ahead. 
E)  all of the above.

Question 13

What is the major advantage of universal life insurance at any age?

Accepted Answer

Universal life allows for flex

Question 14

In dealing with risk,one can either avoid it,manage it,or transfer it for a fee.

Accepted Answer

A) True 
 B)False

Question 15

With short-term disability coverage,payments will continue to age 65.

Accepted Answer

A) True 
 B)False

Question 16

Why is the beneficiary decision so important when buying life insurance?

Accepted Answer

The beneficiary is the person or persons

Question 17

The ________ is the right of the policyholder to choose to receive the policy's cash value in exchange for the policyholder giving up his or her right to a death benefit.

Accepted Answer

A)  nonforfeiture right 
B)  cash exchange right 
C)  cash-out privilege 
D)  residual cash right 
E)  none of the above 
A)  nonforfeiture right 
B)  cash exchange right 
C)  cash-out privilege 
D)  residual cash right 
E)  none of the above

Question 18

Jenny and Joey have seven children and are expecting another.Joey is the primary income provider for his family,and the couple recognizes that the growing family is in need of life insurance.To begin the agent search process,Jenny and Joey make a list of prospects from reputable companies.Both Jenny and Joey prefer to speak to an agent with a life insurance certification.What life insurance agent designation do you recommend?

Accepted Answer

A)  CLU 
B)  LICA 
C)  AIA 
D)  CIR 
A)  CLU 
B)  LICA 
C)  AIA 
D)  CIR

Question 19

With some disability income policies,you may receive partial benefits if you are able to return to work with a part-time schedule.

Accepted Answer

A) True 
 B)False

Question 20

Explain the advantage of reentry term life insurance.

Accepted Answer

Reentry term is guaranteed renewable at

The policy feature that allows you to pay the premium late but still retain coverage is known as the

Statisticians who specialize in estimating the probability of death based on personal characteristics are known as

What is the purpose of companies such as A.M.Best,Moody's and Standard & Poor's?

The main disadvantage of a flexible spending plan is that you may lose any money remaining in the account at the end of the fiscal year.

Individual practice association,group practice,and point-of-service plans are the three basic types of

There are some health care providers who do not accept flexible spending account payments.

Health insurance not only pays for your medical bills but also provides you with replacement income while you are unable to work.

Describe the disability insurance features that make sense.

One of the best features of term insurance is that you are able to borrow against the face value.

With decreasing term insurance,each time the term insurance is renewed the premium decreases.

The Patient Protection and Affordable Care Act was signed into law in 2010;however many of its aspects do not go into effect until 2020.

Your agent argues in favor of cash-value life insurance.You counteract with term to

What is the major advantage of universal life insurance at any age?

In dealing with risk,one can either avoid it,manage it,or transfer it for a fee.

With short-term disability coverage,payments will continue to age 65.

Why is the beneficiary decision so important when buying life insurance?

The ________ is the right of the policyholder to choose to receive the policy's cash value in exchange for the policyholder giving up his or her right to a death benefit.

With some disability income policies,you may receive partial benefits if you are able to return to work with a part-time schedule.

Explain the advantage of reentry term life insurance.

The Financial Planning Process

Measuring Your Financial Health and Making a Plan

Understanding and Appreciating the Time Value of Money

Tax Planning and Strategies

Cash or Liquid Asset Management

Using Credit Cards: The Role of Open Credit

Student and Consumer Loans: The Role of Planned Borrowing

The Home and Automobile Decision

Property and Liability Insurance

Investment Basics

Investing in Stocks

Investing in Bonds and Other Alternatives

Mutual Funds: An Easy Way to Diversify

Retirement Planning

Estate Planning: Saving Your Heirs Money and Headaches

Financial Life Events Fitting the Pieces Together

Filters

Exam 9: Life and Health Insurance

The policy feature that allows you to pay the premium late but still retain coverage is known as the

Statisticians who specialize in estimating the probability of death based on personal characteristics are known as

What is the purpose of companies such as A.M.Best,Moody's and Standard & Poor's?

The main disadvantage of a flexible spending plan is that you may lose any money remaining in the account at the end of the fiscal year.

Individual practice association,group practice,and point-of-service plans are the three basic types of

There are some health care providers who do not accept flexible spending account payments.

Health insurance not only pays for your medical bills but also provides you with replacement income while you are unable to work.

Describe the disability insurance features that make sense.

One of the best features of term insurance is that you are able to borrow against the face value.

With decreasing term insurance,each time the term insurance is renewed the premium decreases.

The Patient Protection and Affordable Care Act was signed into law in 2010;however many of its aspects do not go into effect until 2020.

Your agent argues in favor of cash-value life insurance.You counteract with term to

What is the major advantage of universal life insurance at any age?

In dealing with risk,one can either avoid it,manage it,or transfer it for a fee.

With short-term disability coverage,payments will continue to age 65.

Why is the beneficiary decision so important when buying life insurance?

The ________ is the right of the policyholder to choose to receive the policy's cash value in exchange for the policyholder giving up his or her right to a death benefit.

With some disability income policies,you may receive partial benefits if you are able to return to work with a part-time schedule.

Explain the advantage of reentry term life insurance.

The Financial Planning Process

Measuring Your Financial Health and Making a Plan

Understanding and Appreciating the Time Value of Money

Tax Planning and Strategies

Cash or Liquid Asset Management

Using Credit Cards: The Role of Open Credit

Student and Consumer Loans: The Role of Planned Borrowing

The Home and Automobile Decision

Property and Liability Insurance

Investment Basics

Investing in Stocks

Investing in Bonds and Other Alternatives

Mutual Funds: An Easy Way to Diversify

Retirement Planning

Estate Planning: Saving Your Heirs Money and Headaches

Financial Life Events Fitting the Pieces Together

Filters