NEBRASKA LIFE AND HEALTH EXAM 2024 WITH 100% CORRECT ANSWERS

A deferred annuity is surrendered prior to annuitization. Which of the following best describes the nonforfeiture value of the annuity? a. The surrender value should be equal to 100% of the premium paid, minus any prior withdrawals and surrender charges. b. A deferred annuity cannot be surrendered prior to annuitization. The owner must wait until the annuitization period begins to receive any payments. Answer - The surrender value should be equal to 100% of the premium paid, minus any prior withdrawals and surrender charges. Who bears the investment risk for fixed annuities? Answer - insurer The president of a company is starting an annuity and decides that his corporation will be the annuitant. Which of the following statements is true? Answer - The annuitant must be a natural person. An insurance company forwards fixed annuity premiums to their general account, where the money is invested. The guaranteed minimum interest rate is 3%. During an economic downswing, the investment only drew 2.5%. What interest rate will the insurer pay to its policyholders? Answer - 2.5% Your client's employer does not offer a company wide annuity contract. What type of annuity contract could your client obtain? Answer - Individual. I