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investment stated dividends lapses past dividend

When advertising life insurance product the agent may not:
1. Imply that life insurance is an _____________ or is like shares of stock
2. Imply purchasers will receive special benefits not _______ in the policy
3. Guarantee future _________ to the policyholders
4. State that an insurer profits from policy ______ or surrenders
5. Imply that ____ performance is indicative of future results
6. Misstate past _________ history

insurer policy premium time

In all solicitations, the agent must:
1. Inform the buyer of the full name of the _______ represented
2. Provide a _______ summary and Buyer's Guide prior to accepting the ________
3. Recognize the _____ value of money when comparing cost of policies

accident hospital guarantee insolvent

Life _________ Health and _________ Service Insurance _________ Association: The purpose of this association is to protect the interests of policyholder when insurers become ___________ and to help detect and prevent insurance company impairment

life health members pay death cash

All insurers authorized to transact ____, accident and ______, annuities or hospital service coverage insurance are required to be ________ of the association as a condition of their certificate of authority and are subject to proportionate assessments to ___ benefits and to honor _____ claims and ____ values of insolvent insurers

insolvent 1 2 3

Claims will be honored up to the contractual obligations of the _________ insurer, but in no event will aggregate liability of the association exceed $_00,000 with respect to cash or annuity values, $_00,000 in health insurance benefits or $_00,000 in death benefits


Agents may not advertise or _____ to the protection offered by the guaranty association in their sales presentation

variable life separate

Regulation of _______ Products: Insurers offering variable ____ or annuities must establish a ________ account where income shall be credited without regard to other income of insurer

securities NASD

_____________ are regulated by the SEC who requires sales reps to have a _____ License

commissioner life

Variable life and annuity licenses are also regulated by the ___________________ of Insurance who requires sales reps to have a Texas ____ License plus a variable contracts license

net cost interest rate

There are two methods of life insurance policy cost comparisons:
1. Interest adjusted ____ _____ method
2. Comparative ________ _____ method

net cost cash

Interest adjusted ___ ____ method- useful if you consider the level of ____ values to be of primary importance

interest rate death secondary

Comparative ________ _____ Method: This index is useful if your main concern is the benefits that are paid at your _____ and if the level of cash value is of _________ importance

small larger

Regardless of the index used, it is important to remember the policy with a _____ index number is generally a better buy than a comparable policy with a ______ index number

surrendered paid up collateral

Replacement of life insurance: Any transaction in which existing life insurance will be:
1. Lapsed, forfeited, ___________ or otherwise terminated
2. Converted to reduced,____-__ or extended term by the use of non-forfeiture
3. Pledged as ________ for a loan exceeding 25% cash value

group employee conversion 5 issued

Replacement rules do not apply when:
1. When replacing credit life or ______ life
2. To life insurance sold with __________ benefit plans
3. To new policies sold by the same insurer as a result of a __________ privilege
4. When replacing non-convertible term that will expire in _ years or less and cannot be renewed
5. When replacing proposed life insurance that hasn't yet been _______ with a new policy sold by the same insurer


Replacing life insurance to the detriment of your client is called _________

suitability recommendation

Insurers and producers have no obligation to a consumer regarding __________ if the consumer refuses to provide relevant information, and decides to enter into a transaction that is not based upon a producer's ____________ or fails to provide complete or accurate information


In life insurance an insurable interest must exist at the time of the ___________ but not at the time of claim.

HIV Required

A general release of medical or other information is not a release of ___ related information. A separate HIV release is _________


Group life coverage may be extended to spouses and _____ children who are dependent upon the person insured.


Dependents shall have the same conversion rights as the primary insured under the ______ policy.

employer insurance

Most groups are employee groups and the ________ is the master policy holder. The employees receive certificates of ___________ not policies

31 2 representations age beneficiary insurance convert

A group life policy may not be sold in Texas unless it contains the provisions described below, or provisions that are more favorable
1. A grace period of at least __ days
2. A contestability period of _ years, after which the policy is incontestable
3.Statements made on applications are considered _____________, not warranties
4. A misstatement of ___ provision allowing for adjustment of benefit
5. A provision allowing the person to name a ___________
6. Persons must receive a certificate of __________
7. The right to ________ to an individual whole life policy for 31 days after termination of employment without a physical exam

individual term age higher convert 10

Conversion Rules:
1. Conversion must be to an ___________ policy issued by the same insurer
2. Conversion may be to any policy, except ____ insurance
3. Conversion premiums are based on the current ___ of the insured
4. Conversion may not be to a ______ amount of insurance
5. Dependents may also ______
6. The policy must cover at least __ employees on date of issue

decreasing group creditor require coercion

Credit life is a type of ___________ term insurance and may be individual or group ( most is _____) The _______ is both the policy holder and beneficiary. Debtors have the right to furnish existing insurance in lieu of buying credit life. To _______ a debtor buy credit life from a particular agent is called ________

10 mortgage refunded total

Credit life insurance may be written on a loan of not more than __ years, and is not used as __________ protection insurance. If the loan is repaid early, unearned premiums must be _________. The initial amount of credit life must not exceed the _____ amount of the loan.

time lower

Some life insurers charge premiums that are guaranteed for a period of ____ but may increase to a maximum amount thereafter. However, the insurer may elect to charge a _____ unspecified amount.

premium maximum

The commissioner protects consumers by requiring that insurance furnish fair and accurate information about policies; especially by stating that _________ may change and that the full _________ could be charged

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