Insurance License Texas Life and Health MCQs

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Which of these describe a participating life insurance policy?






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Which of these require an offer, acceptance, and consideration?






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Which of these arrangements allows one to bypass insurable interest laws?






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E and F are business partners. Each takes out a $500,000 life insurance policy on the other, naming himself as primary beneficiary. E and F eventually...






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Which of these is NOT a type of agent authority?






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A variable insurance policy...






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Which of these is an element of a Variable Life policy?






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Which of these would be considered a Limited-Pay Life policy?






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Which statement is correct regarding the premium payment schedule for whole life policies?






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Variable Whole Life Insurance can be described as






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All of these are characteristics of an Adjustable Life policy EXCEPT






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What type of life policy covers two people and pays upon the death of the last insured?






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Which is true concerning a Variable Universal Life policy?






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P is looking to purchase a life insurance policy that will pay a stated monthly income to his beneficiaries for 20 years after he dies and a lump sum ...






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A potential client, age 40, would like to purchase a Whole Life policy that will accumulate cash value at a faster rate in the early years of the poli...






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Which type of policy is considered to be overfunded, as stated by IRS guidelines?






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What kind of special need would a policyowner require with an Adjustable Life insurance policy?






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What type of life policy covers 2 lives and pays the face amount after the first one dies?






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All of these statements about Equity Indexed Life Insurance are correct EXCEPT






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Term insurance has which of the following characteristics?






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What does a Face Amount Plus Cash Value Policy supposed to pay at the insured's death?






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N is a 40-year old applicant who would like to retire at age 70. He is looking to buy a life insurance policy with level premiums, permanent protectio...






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What type of life policy has a death benefit that adjusts periodically and is written for a specific period of time?






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A 15-year mortgage is best protected by what kind of life policy?






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D needs life insurance that provides coverage for only a limited amount of time while also paying the lowest possible premium. What kind of policy is ...






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What type of policy would offer a 40-year old the quickest accumulation of cash value?






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A life insurance policy that provides a policyowner with cash value along with a level face amount is called






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T has a term policy that allows him to continue the coverage after expiration of the initial policy period. What type of term coverage is this?






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Which of these types of life insurance allows the policyowner to have level premiums and to also choose from a selection of investment options?






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When a policyowner exchanges a term policy for a whole life policy without providing proof of good health, which of these apply?






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What type of life insurance are credit policies issued as?






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Which of these statements describe a Modified Endowment Contract (MEC)?






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A variable insurance policy






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The amount of coverage on a group credit life policy is limited to






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What kind of life insurance starts out as temporary coverage but can be later modified to permanent coverage without evidence of insurability?






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T would like to be assured $10,000 is available in 10 years to replace a roof on his house. What kind of $10,000 policy should T purchase?






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Which of these life products is NOT considered interest-sensitive?






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Which of the following actions require a policyowner to provide proof of insurability in an Adjustable Life policy?






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What kind of life policy either pays the face value upon the death of the insured or when the insured reaches age 100?






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Which of these is an element of a Variable Life policy?






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Which of the following features of a group Term Life policy enables an individual to leave the group and continue his or her insurance without providi...






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How does a typical Variable Life Policy investment account grow?






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The investment gains from a Universal Life Policy usually go toward






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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 3...






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A father who dies within 3 years after purchasing a life insurance policy on his infant daughter can have the policy premiums waived under which provi...






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Which of these characteristics is consistent with a Straight Life policy?






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Life insurance that covers an insured's whole life with level premiums paid over a limited time is called






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When a misrepresentation on a life insurance policy application is discovered, what action may an insurance company take?






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Q would like to purchase $100,000 of permanent protection on his wife and $50,000 of Term coverage on himself under the same policy. What kind of poli...






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G purchased a Family Income policy at age 40, The policy has a 20-year rider period. If G were to die at age 50, how long would G's family receiv...






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Additional coverage can be added to a Whole Life policy by adding a(n)






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S would like to use dividends from her life insurance policy to purchase paid-up additions. All of these would be factors that determine how much cove...






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Which provision prevents an insurer from changing the terms of the contract with the policyowner by referring to documents not found within the policy...






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The provision that can be used to put an insurance policy back in force after it has lapsed due to nonpayment is called






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The incontestable clause allows an insurer to






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J let her life insurance policy lapse 8 months ago due to nonpayment. She can reestablish coverage under which of the following provisions?






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How do life insurance companies handle cases where the insured commits suicide within the contract's stated Contestable period?






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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 tak...






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S buys a $10,000 Whole Life policy in 2003 and pays an annual premium of $100. S dies 5 years later in 2008 and the insurer pays the beneficiary $10,5...






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D was actively serving in the Marines when he was killed in an automobile accident while on leave. His $100,000 Whole life policy contains a War Exclu...






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The automatic premium loan provision is designed to






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In a life insurance policy, which provision states who may select policy options, designate and name a beneficiary, and be the recipient of any financ...






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What kind of life insurance product covers children under their parent's policy?






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The option that provides an additional death benefit for a limited amount of time at the lowest possible cost is called a(n)






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All of these Settlement options involve the systematic liquidation of the death proceeds in the event of the insured's death EXCEPT






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Which statement is TRUE in regards to a policy loan?






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When does a Guaranteed Insurability Rider allow the insured to buy additional coverage?






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The agreement in a life insurance contract that states a specific sum of money will be paid to a designated person upon an insured's death is cal...






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






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T took out a $50,000 life insurance policy with an Accidental Death and Dismemberment rider. Five years later, T commits suicide. How much will the in...






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P is blinded in an industrial accident. Which provision of his life insurance policy will pay a stated benefit amount?






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Which of these life insurance riders allows the applicant to have excess coverage?






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In a Life insurance contract, an insurance company's promise to pay stated benefits is called the






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A provision in a life insurance policy that pays the policyowner an amount that does not surpass the guaranteed cash value is called the






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The Consideration clause in a life insurance contract contains what pertinent information?






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Which of these actions is taken when a policyowner uses a Life Insurance policy as collateral for a bank loan?






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An insured is past due on his life insurance premium, but is still within the Grace Period. What will the beneficiary receive if the insured dies duri...






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What action will an insurer take if an interest payment on a policy loan is not made on time?






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The provision that can be used to put an insurance policy back in force after it has lapsed due to nonpayment is called






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S has a Whole Life policy with a premium payment due soon. Which provision would keep the policy in force if S does not make the required payment and ...






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What does the ownership clause in a life insurance policy state?






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A policy loan is made possible by which of these life insurance policy features?






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Which of these actions is taken when a policyowner uses a Life Insurance policy as collateral for a bank loan?






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What does the insuring agreement in a Life insurance contract establish?






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J would like to maintain the right to change beneficiaries. Which beneficiary designation should be used?






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T and S are named co-primary beneficiaries on a $500,000 Accidental Death and Dismemberment policy insuring their father. Their mother was named conti...






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A policyowner would like to change the beneficiary on a Life insurance policy and make the change permanent. Which type of designation would fulfill t...






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A policyowner's rights are limited under which beneficiary designation?






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Which statement is true regarding a minor beneficiary?






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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 fact...






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A level premium indicates






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A policyowner is able to choose the frequency of premium payments through what policy feature?






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J chooses a monthly premium payment mode on his Whole Life insurance policy. Which of these statements is correct?






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P and Q are married and have three children. P is the primary beneficiary on Q's Accidental Death and Dismemberment (AD&D) policy and Q'...






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What kind of life insurance beneficiary requires his/her consent when a change of beneficiary is made?






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J would like to maintain the right to change beneficiaries. Which beneficiary designation should be used?






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K has a life insurance policy where her husband is beneficiary and her daughter is contingent beneficiary. Under the Common Disaster clause, if K and ...






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M purchased an Accidental Death and Dismemberment (AD&D) policy and named his son as beneficiary. M has the right to change the beneficiary designatio...






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If the insured and primary beneficiary are both killed in the same accident and it cannot be determined who died first, where are the death proceeds t...






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Which premium schedule results in the lowest cost to the policyowner?