PRIMERICA LIFE INSURANCE EXAM QUESTIONS AND ANSWERS 2024
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Course
Life insurance
Institution
Life Insurance
Primerica Life Insurance Risk correct answeruncertainty of a financial loss; 2 types Two typed of risks correct answerPure (Insurable) and speculative (uninsurable) Benefits of purchasing insurance? correct answerYou get to transfer financial risk left after passing to insurance company Law of lar...
This study source was downloaded by 100000865390290 from CourseHero.com on 10-26-2023 08:23:44 GMT -05:00
https://www.coursehero.com/file/199728707/Primerica-Life-Insurancedocx/Primerica Life Insurance
Risk correct answeruncertainty of a financial loss; 2 types
Two typed of risks correct answerPure (Insurable) and speculative (uninsurable)
Benefits of purchasing insurance? correct answerYou get to transfer financial risk left
after passing to insurance company
Law of large numbers correct answerthe larger the size of the group the more accurately the experience aka predicted losses of that group can be predicted
Policyowner correct answerperson who owns policy, pays premiums, and chooses the beneficiary
Insured correct answerthe life of the person the policy covers (could be policyowner)
Insurer correct answerthe insurance company which issues the policy and pays the death benefit to the beneficiary upon the death of the insured
Beneficiary correct answerthe person who receives death proceeds
What does having life insurance create or do? correct answerCreates an immediate estate for the beneficiary which could help pay for daily expenses, mortgage, or college etc
Estate correct answerthe net worth of a person; things you own minus things you owe
Premium correct answerthe amount you pay for coverage aka the money that goes into the policy; money policy owner pays to insurer https://www.coursehero.com/file/199728707/Primerica-Life-Insurancedocx/This study source was downloaded by 100000865390290 from CourseHero.com on 10-26-2023 08:23:44 GMT -05:00Proceeds correct answerthe money that is paid out (protection) when the insurer dies; money insurer pays to beneficiary upon insureds death
Synonyms/ other names for proceeds correct answerCoverage insurance amount
face amount death benefit
Are the proceeds taxed? correct answerNo, the IRS does not tax them
Step 1 of how life insurance works correct answerPolicy owner pays premiums to insurer/ insurance company
Step 2 of how life insurance works correct answerthe insurance company issues policy to policyowner and pays benefit to beneficiary upon the death of the insured
Step 3 of how life insurance works correct answerthe beneficiary receives benefit upon insured persons death
Insurance producers correct answeraka agents; sell insurance on behalf of the insurance company AND SHOULD ALWAYS DO WHATS RIGHT FOR CLIENTS (MONEY ISNT EVERYTHING)
Requirements for insurance producers correct answermust be licensed to sell insurance in their state and must be appointed by an authorized insurance company
Step 1 on issuing life insurance correct answerSolicit client (offer to sell them insurance)
Step 2 on issuing life insurance correct answerGive client a sells presentation on financial product that fits their need
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