Final Exam - Missouri Life Only Accurate 100%

Which unfair trade practice involves making false statements about the financial condition of another insurance company? -ANSWER Defamation When must insurable interest exist for a life insurance contract to be valid? -ANSWER Inception of the contract Which of the following statements about non-contributory employee group life insurance is FALSE? -ANSWER A minimum number of employees is required to participate. 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 exclusion clause. How much will D's beneficiary's receive -ANSWER The full face amount. In Missouri, which of the following is considered an unfair trade practice? -ANSWER Coercion. Which of these characteristics is consistent with a Straight Life policy? -ANSWER Premiums are payable for as long as there is insurance coverage in force. Which of the following best describes a contingent beneficiary? -ANSWER Person designated by the insured to receive policy proceeds in the event that the primary beneficiary dies before the insured. A policy owner would like to change the beneficiary on a life insurance policy and make the change permanent. Which type of designation would fulfill this need? -ANSWER Irrevocable The option that provides an additional death benefit for a limited amount of time at the lowest possible cost is called a(n): -ANSWER Accidental Death and Dismemberment rider (AD&D). What is the MAXIMUM fixed interest rate for life insurance policy loans? -ANSWER 8% When a policy owner cash surrenders a Universal Life insurance policy in its early years, this may be considered a red flag for a(n): -ANSWER Anti-Money Laundering Violation In an individual retirement account (IRA), rollover contributions are: -ANSWER Not limited by dollar amount. A credit life insurance policy covers life of the -ANSWER Debtor. Prior to a universal life insurance policy being terminated, written notice must be given to the policy owner at least -ANSWER 30 days of termination date Which parts of a life insurance policy are guaranteed to be true? -ANSWER Warranty. What is the underlying concept regarding level premiums? -ANSWER The early years are changed more than what is needed. An applicant for a non-resident producer license must -ANSWER Be a producer in good standing in their home state. When making a recom