INSURANCE LICENSE PRACTICE XCEL SOLUTIONS FINAL

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INSURANCE LICENSE PRACTICE XCEL SOLUTIONS FINAL

EXAM #12 - TEXAS LIFE ONLY EXAM QUESTIONS

Actual Qs and Ans - Expert-Verified Explanation -Guaranteed passing score -100 Questions and Answers

-Format: Multiple-choice / Flashcard

Question 1: Question 17

All these statements concerning Settlement Options are true, EXCEPT?

Answer:

Only the beneficiary may select

Question 2: Question 38

What kind of life insurance policy pays a specified monthly income to a beneficiary for 30 years and then pays a lump sum benefit at the end of that 30 years?

Answer:

Family maintenance policy

Question 3: Question 76

a primary beneficiary has died before the insured in a life policy a contingent beneficiary is also named in the policy which of the following will occur when the insured dies?

Answer:

Proceeds will go to the contingent beneficiary

Question 4: Question 82

It certificate of ____ commence an insurance company to transact business in Texas

Answer:

Authority

Question 5: Question 48

the type of annuity that can be purchased with one monetary deposit is called a(n)?

Answer:

Immediate annuity

Question 6: Question 54

a life insurance policy that provides a policy owner with cash value along with face value amount is called?

Answer:

Whole life

Question 7: Question 36

which life insurance rider typically appears on a Juvenile life insurance policy

Answer:

Payor benefit rider

Question 8: Question 27

what provision in a life insurance policy states that the application is considered part of the contract?

Answer:

Entire contract provision

Question 9: Question 31

The phrase "transacting business" includes

Answer:

Collecting premiums

Question 10: Question 99

During a sales presentation for a participating life insurance policy, an agent MUST?

Answer:

Make a prospect understand that dividends are not guaranteed

Question 11: Question 85

Life and health insurance policies are?

Answer:

Unilateral contracts

Question 12: Question 8

taking receipt of premiums and holding them for the insurance company is an example of?

Answer:

Fiduciary responsibility

Question 13: Question 12

in Texas an individual life insurance policy is REQUIRED to have a grace period of?

Answer:

31 days

Question 14: Question 42

Which of these is NOT a reason for purchasing life insurance on the life of a minor?

Answer:

If both parents were to die, it would provide death benefits that the child

Question 15: Question 78

An example of rebating would be

Answer:

Returning a portion of the premium as an inducement to purchase insurance

Question 16: Question 53

All of these statements about the Commissioner of Insurance are true EXCEPT?

Answer:

The commissioner must be elected

Question 17: Question 26

If you insured's age was misstated on a life insurance contract, the misstatement of age provision requires that any death benefit payable would be?

Answer:

an amount that the premiums paid would have purchased at the current age

Question 18: Question 64

who is liable when an insured suffers a loss on a policy sold by an agent through an insurer not authorized to conduct business in Texas?

Answer:

The agent and the company

Question 19: Question 83

an insurance company organized under New York laws and licensed to do business in Texas is considered a(n)?

Answer:

Foreign company

Question 20: Question 91

N is a student pilot with a large life insurance policy. which of these features would limit the insurers obligation in the event N was killed while flying as a student pilot?

Answer:

Exclusion

Question 21: Question 52

What is an organization that solicits insurance only to its members?

Answer:

Fraternal benefit society

Question 22: Question 46

L, aged 50, and L's spouse, 48, have one natural child and one adopted child. They purchase a family policy that covers L's spouse at age 65. A death benefit will NOT be paid in which of the following?

Answer:

L's spouse dies at age 66

Question 23: Question 29

Under the USA Patriot act, insurers are required to report receipt of cash payments in excess of?

Answer:

$10,000

Question 24: Question 71

if father who dies within 3 years after purchasing a life insurance policy on his infant daughter can have the policy premiums waived under which provision?

Answer:

Payor provision