Arkansas Life Insurance Exam. 182 Questions With 100% Correct Answers 2024. Updated.
Course
Arkansas Life Insurance
Institution
Arkansas Life Insurance
Arkansas Life Insurance Exam. 182 Questions With 100% Correct Answers 2024. Updated.
A life insurance premium is paid each month. The insurer then subtracts a mortality and expense charge from the policy's cash value. This best describes which of the following life insurance policies?
A. Whole ...
Arkansas Life Insurance Exam. 182
Questions With 100% Correct Answers
2024. Updated.
A life insurance premium is paid each month. The insurer then subtracts a mortality and expense
charge from the policy's cash value. This best describes which of the following life insurance policies?
A. Whole Life
B. Variable Whole Life
C. Universal Life
D. Adjustable Whole Life
C. Universal Life
What is the name of a single policy covering two or more lives that pays benefits upon the death of
the first insured?
A. Accidental Death
B. Joint Survivorship Life
C. Joint Life
D. Universal Life
C. Joint Life
Which of the following is TRUE of a term rider when attached to a permanent life policy?
A. It allows the policy to achieve paid up status at the end of the term.
B. It can provide additional temporary coverage on the insured or on other members of the family.
C. It always is in the amount of the base policy
D. It only pays out a death benefit in cases of accidental death
B. It can provide additional temporary coverage on the insured or on other members of the family
For those individuals who have health issues, which of the following would be an insurance plan to
consider?
A. Decreasing Term
B. Joint Life
C. Group
D. Variable Universal Life
C. Group
T has some hearth health issues but needs some additional life insurance coverage. What options
should T consider?
A. A group life insurance plan
B. A group health insurance plan
,C. Universal Life Option B
D. Adjustable Life
A. A group life insurance plan
If Alvin purchases a Variable Universal Life Policy with a face amount of $250,000, and chooses death
benefit Option B, upon his death the amount of the benefit payable to the beneficiary would be
________ if the policy had $25,000 in cash values.
A. $225,000
B. $250,000
C. Nothing
D. $275,000
D. $275,000
Linda wants her husband to be the beneficiary of her life policy but also wants to retain all rights of
ownership. Which of the following types of beneficiary designations should she use?
A. Contingent beneficiary
B. Tertiary beneficiary
C. Irrevocable beneficiary
D. Revocable beneficiary
D. Revocable
Which of the following annuities does not have a traditional accumulation phase?
A. Flexible premium deferred
B. Single premium deferred
C. Single premium immediate
D. Periodic premium deferred
C. Single premium immediate
An insured forgets to pay his insurance premium. Instead of the policy lapsing, the premium is paid by
the company. This would suggest that a __________ policy was purchased.
A. Renewable term
B. Level term
C. Decreasing term
D. Whole Life
D. Whole life
Which of the following riders can be used to cover the life of an additional insured who is an unrelated
business partner?
A. Spouse rider
B. Child rider
C. Family rider
D. Nonfamily rider
D. Nonfamily rider
, In all cases upon the insured's death, the beneficiary receives which of the following?
A. The policy's rider values
B. A refund of premiums
C. The policy's cash values
D. The face amount of the policy
D. The face amount of the policy
Instead of waiting to receive her payments over time Jeanne decides to obtain the greatest amount of
money out of her annuity immediately. Which option did she choose?
A. Life income with refund
B. Life income period certain
C. Straight life option (life income)
D. Lump Sum
D. Lump Sum
An insured owns a $50,000 permanent life policy that she purchased 4 years ago that has a disability
waiver of premium. The insured becomes disabled and pays premiums during the waiting period until
the waiver begins. Once the waiver begins, what happens to the premiums she paid during the waiting
period?
A. It is added to the policy's cash values
B. It is held in escrow until the disability is over then refunded
C. It is kept by the insurer as part of the cost of providing the benefit
D. The insurer refunds it
D. The insurer refunds it
How is a life settlement transaction similar to a viatical settlement transaction?
A. The policy is overfunded
B. The policy is about to lapse
C. The insured is terminally ill
D. A third party buys a life insurance policy for less than its face amount
D. A third party buys a life insurance policy for less than its face amount
Cash values within an ordinary straight whole life insurance policy _______ over time.
A. Increases
B. Remain constant
C. Decrease
D. Vary
A. Increases
The insuring clause is found:
A. On the last page of the policy
B. Right before the copy of the application
C. On the first page of the policy
D. In front of a copy of the paramedical exam results
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller ACADEMICAIDSTORE. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $15.99. You're not tied to anything after your purchase.
