TEXAS LIFE INSURANCE EXAM EXAM QUESTIONS

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TEXAS LIFE INSURANCE EXAM EXAM QUESTIONS

Actual Qs and Ans - Expert-Verified Explanation -Guaranteed passing score -51 Questions and Answers

-Format: Multiple-choice / Flashcard

Question 1: #50.

Which statement is NOT true regarding a Straight Life policy?a) The face value of the policy is paid to the insured at age 100.b) It usually develops cash value by the end of the third policy year.c) It has the lowest annual premium of the three types of Whole Life policies.d) Its premium steadily decreases over time, in response to its growing cash value.

Answer:

d) Its premium steadily decreases over time, in response to its growing cash value

Question 2: #72.

A banker is ready to close on a customer's loan. The bank is prepared to offer the loan but only if the customer purchases a life insurance policy from the bank in the amount of the loan. This is an example of a) Defamation.

b) Twisting.c) Coercion.d) Loading.

Answer:

c) Coercion.

Question 3: #82.

Conversion to an individual whole life policy is permitted without evidence of insurability within how many days of the termination of employment?a) 14 b) 28 c) 30 d) 31

Answer:

d) 31

Question 4: #37.

An insured and his wife are both involved in a head-on collision. The husband dies instantly, and the wife dies 15 days later. The company pays the death benefit to the estate of the insured.This indicates that the life insurance policy had what provision?a) Second-to-Die b) Common Disaster c)

Accidental Death d) Survivor Life

Answer:

b) Common Disaster

Question 5: #74.

Viatical settlements may be rescinding within what time period after the viator receives the proceeds?a) 15 days b) 30 days c) 90 days d) Indefinitely

Answer:

a) 15 days

Question 6: #86.

An insurer that holds a Certificate of Authority in the state in which it transacts business is considered a/an a) Local insurer.b) Certified insurer.c) Self-insurer.d) Authorized insurer.

Answer:

d) Authorized insurer.

Question 7: #7.

A rider attached to a life insurance policy that provides coverage on the insured's family members is called the a) Other-insured rider.b) Change of insured rider.c) Juvenile rider.d) Payor rider.

Answer:

a) Other-insured rider.

Question 8: #51.

All of the following are characteristics of group life insurance EXCEPT a) Certificate holders may convert coverage to an individual policy without evidence of insurability.b) Premiums are determined by the age, sex and occupation of each individual certificate holder.c) Amount of coverage is determined according to nondiscriminatory rules.d) Individuals covered under the policy receive a certificate of insurance.

Answer:

b) Premiums are determined by the age, sex and occupation of each individual certificate holder.