Variable License Review Module 6 and 7

A Single Premium Variable Whole Life Plan is

• A variable whole life insurance plan where premiums are used to purchase units in a variable or unitized fund

• A variable whole life insurance plan where the amount of insurance protection is 500% of the single premium paid

• A plan that has no life coverage

• None of the above

A Single Premium Variable Whole Life Plan is

• A variable plan where the amount of insurance protection is 125% of the single premium paid

• Policy that advances the whole sum insured in the event of diagnosis of heart attack, stroke, coronary artery bypass, end-stage renal failure or total permanent disablement

• Policy that provides health coverage such as disability income

• None of the above

Variable crisis insurance covers

• Health insurance

• Health insurance and disability income

• Critical illness such as stroke, heart attack

• Critical illness, health insurance and disability income

A type of fund that is invested in instruments that are low risk and relatively safe

• Equity fund

• Property fund

• Cash fund

• Managed and balanced fund

Bond fund invests in ________________ and in other forms of fixed-income instruments

• Real estate and government bonds

• Stocks and shares

• Government and corporate bonds

• Fixed-income instruments and stocks

Property fund has a provision, which allows the fund manager to defer redemption of units typically up to ___________

• 6 months

• 10 months

• 3 months

• 12 months

During a market crash, __________ is usually the first to immediately depreciate in high amounts.

• Cash

• Equity assets

• Real estate

• Corporate bonds

These funds are segmented based on geographical regions or particular industries.

• Managed fund

• Balance fund

• Growth fund

• Specialized fund

This works like a “managed” basket of assets comprising a higher proportion of equity and a lower proportion of fixed income instruments.

• Bond fund

• Cash fund

• Managed fund

• Property fund

The higher return normally comes with higher risk. What is the order of the funds based from the lowest risk and lowest return to the highest risk and return (managed funds, property funds, bond funds, equity funds, cash funds)

• Balance funds, equity funds managed funds, cash funds, bond funds

• Cash funds, bond funds, balanced funds, managed funds, equity funds

• Bond funds, equity fund, cash funds, balanced funds managed funds

• Cash funds, balanced funds, managed funds, bond funds, equity funds