Life Insurance Exam NC Practice Questions With Practical Answers Graded A+.
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Course
NC.
Institution
NC.
Which of the following is an eligibility requirement for all social security disability income benefits - correct answer Have attained fully insured status
If the Commissioner denies an initial application for an agent, how long does the applicant have to re...
Life Insurance Exam NC
✅ Which of the following is an eligibility requirement for all social security disability income benefits -
correct answer Have attained fully insured status
If the Commissioner denies an initial application for an agent, how long does the applicant have to
request a review after receiving notification of the denial? - correct answer 30 days
Traditional IRA contributions are tax deductible based on which of the following? - correct answer
Owners income
Which of the following will NOT be considered unfair discrimination by insurers? - correct answer
Discriminating in benefits and coverages based on the insured's habits and lifestyle
How long must a complaint record be maintained? - correct answer 5 years
How must a replacing producer respond to an applicant wishing to replace existing life insurance? -
correct answer The producer must provide the applicant with a Notice Regarding
Replacement.
Which of the following statements would best describe the different between vatical settlements and
accelerated death benefits? - correct answer Viaticals are funded by a third party;
accelerated death benefits are provided by the insurer that issued the original policy
A viatical settlement is arranged between a viatical company and a/an - correct answer
Terminally ill insured
Which of the following terms is used to name the non taxed return of unused premiums? - correct
answer Dividends
, Under which installments option does the annuitant select the amount of each payment, and the insurer
determines how long they will pay benefits? - correct answer Fixed amount
Your clients wants both protection and savings from the insurance and is willing to pay premiums until
retirement at age 65. What would be the right policy for this client? - correct answer
Limited pay whole life
An agent and an applicant for a life insurance policy fill out and sign the application. However, the
applicant does not wish to give the agent the initial premium, no conditional receipt is issued. When will
coverage begin? - correct answer When the agent delivers the policy, collects the
initial premium, and the applicant completes an acceptable Statement of Good Health
Which rule would apply if an agent knows an applicant is going to case in an old policy and use the funds
to purchase new insurance? - correct answer Replacement rule
Which of the following will NOT be an appropriate use of a deferred annuity? - correct answer
Creating an estate
Which of the following ultimately determines the interest rates paid to the owner of a fixed annuity? -
correct answer Insurer's guaranteed minimum rate of interest
If an insurer becomes insolvent, which of the following would pay benefits to policyholders? - correct
answer The Guaranty Association
How are state insurance Guaranty Associations funded? - correct answer By their
members - authorized insurers
Which option is being utilized when the insurer accumulates, dividends at interest and then uses the
accumulated dividends, plus interest, and the policy cash value to pay the policy up early? - correct
answer Paid-up option
In which of the following situations is it legal to limit coverage based on marital status? - correct answer
It is never legal to limit covered based on marital status
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