California Life License Exam 21 Questions with Answers
An annuity that is purchased with a lump sum premium and whose benefits begin after 12 months
... [Show More] is called a ... - CORRECT ANSWER Single premium deferred annuity
A technique that is used to determine the amount of life insurance needed on the projected earning potential of an insured is called the... - CORRECT ANSWER Human life approach
When replacing a policy the producer must present the applicant with a Notice Regarding Replacement of Life Insurance... - CORRECT ANSWER At the time of taking the application
The possibility of a financial loss incurred by a life insurance company got the premature death of an insured is known as a... - CORRECT ANSWER Risk
A person who signs a fraudulent claim form may be found guilty of... - CORRECT ANSWER Perjury
Which policy is a combination of annual renewable term insurance and interest-sensitive cash value? - CORRECT ANSWER Universal life
The right to a full refund of premiums for insureds age 60 or older is - CORRECT ANSWER 14 days
Intentionally omitting a history of heart problem on application - CORRECT ANSWER Concealment
A tax-sheltered annuity (TSA) is a qualified plan available for - CORRECT ANSWER Non-profit organizations
The intent of replacement regulations is to protect the - CORRECT ANSWER Policyowner
Which provision allows a lapsed policy to be put back in force - CORRECT ANSWER Reinstatement
According to the California Department of Insurance, an insurer whose articles of Incorporation are registered in Oslo, Norway is considered a/an - CORRECT ANSWER Alien Insurer
Mortality is defined as the - CORRECT ANSWER Rate of death
Which of the following is NOT a characteristic of group life insurance?
- A group may exist for the purpose of purchasing insurance
- The Insurance is written as a master policy
- Members receive a certificate of insurance
- Conversion rights without evidence of insurability must be offered - CORRECT ANSWER A group may exist for the purpose of purchasing insurance
When a producer collects the initial premium and issues a conditional receipt, the receipt... - CORRECT ANSWER May allow life insurance companies to start coverage before policy delivery
The law of large numbers allows an insurance company to predict the expected losses among - CORRECT ANSWER Members of a group of individuals with similar risks
If an insurers legal reserve funds are found to be less than the minimum required by law, the insurer is considered - CORRECT ANSWER Insolvent
Which type of policy would be suitable to protect the balance of a home mortgage - CORRECT ANSWER decreasing term
When must insurable interest exist - CORRECT ANSWER At the time of application
which - CORRECT ANSWER
The rider - CORRECT ANSWER [Show Less]