Question 1

Rob, Joe, and Mike are brothers who have a $60,000 "first-to-die" Joint life policy covering all three of their lives. If Joe dies first, the policy proceeds

Options :

A : will not provide further insurance protection.

B : must be shared equally by Rob and Joe-s wife.

C : will accumulate with interest until another brother dies and then be awarded to the surviving brother.

D : must be awarded to Joe-s estate.

Answer: A

Question 2

Extended term Insurance can be selected under which whole life policy provision?

Options :

A : interest-only

B : nonforfeiture

C : cash value

D : settlement

Answer: B

Question 3

The type of insurance used to indemnify a firm for the loss of earnings brought about by the death or disability of an officer or other significant employee Is

Options :

A : business continuation life.

B : business overhead.

C : key person.

D : employee welfare.

Answer: C

Question 4

Loans may generally be obtained against the cash value of a personal life Insurance policy and policy loan proceeds

Options :

A : accelerate the benefits under the policy.

B : are not treated as taxable income.

C : are subject to Federal estate tax.

D : generate nontaxable interest income.

Answer: B

Question 5

Insurance agents have duties and responsibilities to the insured and the insurer. Which of the following responsibilities does an agent owe the insured during the policy year?

Options :

A : Help the insured file and follow up on claims.

B : Notify the insurance department when claims are paid.

C : Work with rating bureaus to establish insurer ratings.

D : Pay the insured-s premiums if they are unable to do so.

Answer: A

Free OH-Life-Agent-Series-11-44 Mock Exam – Practice Online Confidently

Buying Options: