wayground logo

Free Printable Worksheets

NEW

Font size

S
M
L
XL
Worksheets

TRAD EXAM SET B PART 3

Total questions: 14

Worksheet time: 13mins

Name
Class
Date
1.

ACCORDING TO INSURANCE LAW, A COMMON-LAW SPOUSE CANNOT BE DESIGNATED A BENEFICIARY

a)

since there is no benefit of marriage in the relationship

b)

if his/her legal partner is still living and the previous marriage has not been legally dissolved

c)

since the common-law relationship is an immoral relationship

d)

all of the above

2.

POLICY RESERVES ARE FUTURE OBLIGATIONS ON THE PART OF

a)

the Insurance Commission

b)

the Insurance Company

c)

the beneficiary

d)

the policyowner

3.

WHICH ONE OF THE FOLLOWING PROVISION IN A PERMANENT LIFE INSURANCE POLICY MAY LAPSE FOR NON-PAYMENT OF PREMIUM

a)

Guaranteed Insurability

b)

Automatic Premium Loan

c)

Settlement Options

d)

Reinstatement Provision

4.

A POLICYHOLDER MAY OBTAIN MONEY FROM THE INSURANCE COMPANY AND STILL REMAIN INSURED BY

a)

surrendering the policy for its cash value

b)

discontinuing payment of premium for some period

c)

taking a policy loan

d)

taking the extended insurance option

5.

WHEN YOU BOUGHT AN INSURANCE POLICY ON YOUR WIFE'S LIFE YOU WERE 25 AND SHE WAS 26, BUT YOU STATED THAT YOU WERE 26 AND SHE WAS 27. FIVE YEARS LATER YOUR WIFE DIED. THE INSURANCE COMPANY WILL PAY

a)

the face amount

b)

the face amount adjusted for misstatement of age

c)

the sum of the premium paid

d)

slightly less than the face amount

6.

IF THE POLICY DID NOT CONTAIN THE NAME OF A BENEFICIARY, THE BENEFICIARY WILL BE

a)

the wife

b)

the children

c)

the insured's brothers and sisters

d)

the insured's estate

7.

IF A POLICYOWNER WHOSE WIFE IS THE IRREVOCABLE BENEFICIARY WISHES TO CASH IN HIS POLICY, HE MUST

a)

tell his wife what he is going to do

b)

first take a loan on the policy

c)

have the check issued in the name of his wife

d)

have the wife's consent

8.

IF A POLICY WITH THE ACCIDENTAL DEATH RIDER BECOMES PAID UP

a)

the accidental death rider ceases

b)

the face amount of the policy is reduced

c)

premiums on the basic policy stop but the rider premium continues

d)

none of the above

9.

AN ANNUITY PLAN

a)

offers life insurance protection

b)

offers the waiver of premium benefit

c)

is the same as an endowment plan

d)

is a purchase of income

10.

THE PERSON WHO PURCHASES THE ANNUITY PLAN IS CALLED THE

a)

assignor

b)

owner

c)

insured

d)

annuitant

11.

ALL OF THE FOLLOWING STATEMENTS REGARDING A LIFE INSURANCE APPLICATION ARE CORRECT EXCEPT

a)

it must be signed by the applicant

b)

usually it will be a part of the policy contract

c)

misstatement of material facts could void the policy during the contestable period

d)

statements made on the applications are warranties

12.

PRIOR TO GRANTING A LICENSE, THE IC REQUIRES PROOF OF

a)

a clean record of employment

b)

a reasonable educational background

c)

a prospective agent's character and reputation

d)

all of the above

13.

THE IC HAS THE POWER TO ADJUDICATE INSURANCE CLAIMS AGAINST INSURANCE COMPANIES FOR ANY SINGLE CLAIM NOT EXCEEDING

a)

P 1,000,000

b)

P 250,000

c)

P 100,000

d)

P 5,000,000

14.

FOR LIFE INSURANCE COVERAGE TO BE VALID, INSURANCE INTEREST MUST EXIST

a)

only at the inception of the policy

b)

only at the time of the loan

c)

throughout the entire lifetime of the policy

d)

both at the time of the policy issue and at the time of the loan but not necessarily throughout the lifetime of the policy