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Insurance Knowledge Challenge

Test your knowledge on life insurance with our engaging quiz designed for enthusiasts and professionals alike! From understanding non-forfeiture provisions to policy settlement options, this quiz covers essential topics in the insurance world.

Here's what you can expect:

11 thought-provoking questions
Multiple choice format
Immediate feedback on your answers

11 Questions3 MinutesCreated by EvaluatingExpert32

21. Non-forfeiture provisions are included in whole life and endowment policies to assure the policy owner that certain minimum policy benefits shall remain with him even under certain changed conditions. Non-forfeiture values guarantee to the policy owner that

No death claim Will be denied for any misstatement On the application

Any guaranteed policy values will belong to the policy owner even of premium payments are discontinued

He face amount Of the policy Will remain the same even if the insured's health becomes impaired

The premium on the policy will remain the same even when another beneficiary is added to the policy

22. In the case Of renewable term insurance, the policy owner may

Renew the coverage based on a higher premium

Change the life insured at a later date

Renew providing the insurance company agrees to continue coverage

Renew at the same premium fora further period of years

23. When you bought an insurance policy on your wife's life, you were 27 and she was 26, but you stated that you were 26 and she was 27. Five years later your wife died. The insurer will pay

Slightly less than the face amount

The face amount

The face amount adjusted for misstatement of age

The sum of the premiums paid

24. Both endowment and term life insurance policies provide that

No cash values are available to the policy owner during the term of the policy

Renewable and conversion privileges are available

A benefit will be paid at the end Of the period Of coverage if the person insured is then alive

Insurance protection will be limited to a specified period

25. All of the following are sources of information to an insurance company pertaining to the insurability of an applicant except

The applicant's personal appearance

Medical examination report

Agent's inspection report

Government tax records

26. An insurance company generally has the right to rescind a life insurance policy if

Company discovers at any time that the policy owner was actually a minor at the time of application

Insured person intentionally kills himself during the suicide exclusion period specified in the policy

Insured person is killed in military action during the contestable period of the policy

Company discovers during the contestable period that the application contains a material statement

27. In most life insurance applications. the largest amount of information requested is data which

Identifies the applicant

Describes the type of insurance applied for

Relates to the insurability of the applicant

Describes the desired benefits and mode Of payment

28. In the event that a policy owner elects that paid-up insurance option

The premiums stop and the policy continues for the full face amount until age 65

The insurance continues at a reduced amount and With a reduced premium

The policy Will automatically terminate

The premiums cease and protection continues with a reduced amount of coverage

29. A father has his present life insurance payable to his estate and because he has now retired he wants to pass the policy on to his son who'll assume the premium payments. Which of the following will he have to appoint his son to achieve his desire and protect the son from Estate Tax Liability?

Irrevocable primary beneficiary

Absolute assignee

Irrecovable secondary beneficiary

Revocable primary beneficiary

30. What are the basic settlement options?

Policy loans guaranteed insurability

Ash surrender values, automatic premium loans

Filled amount, fixed period, life income, interest on deposit

Double indemnity, total and permanent disability waiver

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