the gramm leach biley act was passed toto protect private customers information filed with a financial institutionreplacing insurers that use procedures must provide applicants with the right to return their policy within a few days of its delivery how many days30 dayswhich of the following is not an allowable 1035 exchangea whole life insurance policy is exchanged for term insurance policywhat documentation grants express authority to an agentagent contract with principlewhen contributions to an immediate annuity are made with before tax dollars which of the following is true of distrbutionsdistributions are taxablewhich of the following is another term for the accumulation period of an annuitypay in periodin order to qualify for conversion from a group that has been terminated to an individual policy of the same coverage a person must have been insuired yunder the group for how long5 yearswhich of the following is true concerning irrevocable beneficiariesthey can be changed only with written consent of that beneficiarya producer is helping a married couple determine the financial needs of their children in the event one or both should die prematuraly this is a personal use of life insurancesurvivor protectionwhen a policyowner designates a group of individuals as the beneficiary of life insurance death benefit without specifiaclly naming individuals this is calledclass designationwhich of the folloowing types of insurance policies is most commonly used in credit life insurancedecreasing lifeall of the following are true regarding the guaranteed insurability rider excedptthe rider is available to all insured with no additional premiumfor retirment plan to be qualified it must be designed for the benefit ofemployeesa producer committed a violated the insurance codes the act she was so uncommon that no specific penalty is attached to it, in this case, what is the maximum fine that could be leveled5kwhat happens when a policy is surrendered for its cash valuecoverage ends and the policy can not be reinstatedall of the following are true of a key person exceptthe plan is funded by permanent insurance onlyan insured receives an annual life insurance dividend check what terms best describe this arrangmentcash optionif an insured surrenders his life insurance policy which statement is true regarding the cash value of the policyit is only taxable if the cash value exceeds the amount of the premiumthe risk managment technique is used to prevent a specific loss by not exposing oneself to that activity calledavoidancewhen both parties to a contract must perform certainduties and follow rules of conduct to make the contract enforcable the contract isconditionalthe term illustration in a life insurance policy refers toa presentation of nonguaratneed elemenst of a policyan isnurance company must notify the commissioner whenever it terminates an agents appointment within how many days30 daysthe authority granted to an agent through the agents contract is referred to asexpress authorityall factors being equal the least expensive first year premium payment is found inannually renewable termto which of the following policies would state regua;ltions on illustration not applyan individual variable life policyduring accumulation period in a nonqualified annuity what are the tax consequences of a withdraweltaxable interest will be withdraewn and the penalty of 10% will be imposed if under age 59.5partners in a business enter into a buy sell agreement to purcahse life insurance, one dies the other can buy the interest of the deadpartenrany form of life insurancewhen an isnured makes truthful statements on the application for insurance and pays required premium it is known as which of the followingconsiderationan employee is insured under employer's grouplife plan she terminates coverage which of the followin is incorrectthe insured may choose to convert to term or permanent individual coveragewhat are the two componenets of universal life insuranceinsurance and cash accoutnin an adjustable life insurance all of the following can be charged by the following exceptthe type of investmenthow long will the beneficiray receive payments under the single life settlement optionuntil the beneficiary deathall admitted insurance companies in the state are subject to fiscal examinations by the commissionerat least every 5 yearwhich of the following policies would be classified as traditional level premium contractstraight lifestraight life whole policieshave a high level guarantyeed face amount and a level premiumfor the life of the insuredwhat documentation would be classified grants written express authority to an agentagents contract with the principlethe prinacpl grants what to an agent through the agentws contractauthoritywhich of the following are not fundable by annuitiesdeath benefitsannuities are most commonly used to fund a persons retirement, but they can technically be used to accumualte cash for any reason besidesdeath benefitwhich of the follwoing is true about class designationbeneficiaries are not identifiable by namea class desgination is using something like"my childrern" instead of their names specifically. many insiurers encourage the insured to name each individual child and percentage.which of the following is not truethe life and health guarunty association is comprosed of reps from the doi's of every stateany company selling life and or health musty belong to the guaranty associationanot the doi repsall admitted insurance companies in this state are subject to fiscal examinations by the commissionerevery 3 yearsall of the following are true of a key person exceptthe plan is funded by permanent insurance onlykey person coverage may be funded byany type of insuranceduring partial withdrawl from univwersal life policy, which portion will be taxedinterestduring the withdrawlthe interest earned on the withdrawn cash value may be sbuject to to taxationall of thefollowing are true regarding the guaranteed insurability rider exceptthe rider is available to all insured with no premiumduring replacement of life insurance replacing insurer must do which of the followingobtain a list of all the insurance policies that will be replacedwhich of the following policies would have an irs required corridor or gap between the cash value and the death benefituniversal life option Auniversal life option apolicy must maintain a specified corridor or gap between the cash value and the death benefit as required by the irs. if this corridor is not maintained, advantages that have been associated with life insurancean adjustable life policyowner can change wewhich of the following policy features?the coverage periodwhich type of insurance policy allows the policyowner to pay more or less than the planned premiumuniversal lifeequity index annuitiesseek higher riskequity index annuities are not securitiesbut they invest on relatively aggressive basis to aim for higher returns. like a fixed annuity the equity index annuity has guaranteed minimum interest rate. the current interest rate that is actually credited os often tied to family.which option for universal life allows beneficiary to collect both the death benefit and cash value upon the death of the insured.option boption Bthe death benefit includes the annual increase value so that the death benefit gradually increases each year year by the amount that the cash value increases.who is the owner and who is the beneficiary on a key persons life insurance policythe employer is the owner and beneficiarythe key person coveragethe business is the applicant owner premium payer and beneficiary.which of the following is not true regarding equity index annuitiesthey earn lower interest rates than fixed annuititesequity index annuititesinvest on aggressive basis in order to yeild higher returns.if an immediate annuity is purchased with the face amount at death or with cash value at surrender this would be consideredsettlement optionsettlement optionis exercised when immediate annuity is purchased with the face amount of with the cash value at surrenderan insured receives an annual life insurance dividend check what terms best describe this agreementcash optionsthe cash option allowsam insurer to send the policyholder an annual, nontaxable dividend checkthe term illustrations in life insurance policy refers toa representation of nonguaranteed elements of a policy
