The premiums paid by the employer in a business life insurance policy are All of the following are true of a key person insurance.. B. 6 2/3 What happens when a policy is surrendered for its cash value? What type of policy is this? For the purpose of making an investigation, the commissioner does have the power to do all the following: And in sure publishes intimidating brochures at portray the insurer's competition as financially and professionally unstable. A Provide opinions concerning benefits, coverage, terms, and advantages and disadvantages of a policy or annuity f. Get an answer. Discrimination. This answer has been confirmed as correct and helpful. New answers. Until now, she has collected a nontaxable dividend check each year. When a beneficiary receives payments consisting of both principal and interest portions, which part are taxable as income? Paid cash to cover desk purchased on account. If she decides to roll over her plan to a traditional IRA, how much will she receive from the plan administrator and how long does she have to complete the tax free-roll over? All of the following would be considered to be rebating EXCEPT, which was part of Insurance MCQs & Answers. The company is guilty of D Inviting prospective clients to the grand opening of the producer's new office. All paid by the time the insured reaches age 65. This is considered to be an unfair claim settlement practice What is the purpose of a disclosure statement in life insurance policies? A A rebate is a type of purchasing discount that is paid as a reduction. How can she obtain an individual policy? D Legal, provided that the information can be verified. Which of the following would require an individual to stop participating in a specific activity if the Commissioner believes to be violating the Insurance Code? The agent is guilty of? Log in for more information. How are contributions to a tax-sheltered annuity treated with regards to taxation? How much energy is needed to move one electron through a potential difference of 1.0 102 volts, Includes procedures and techniques that are designed to protect a computer from intentional theft. Telling a client that his first premium will be waived if he purchases the insurance policy today. How many credit hours of excess continuing education or producers allowed to carryover to the next renewal cycle? In classifying a risk, the Home Office underwriting department will look at all of the following.. A generic consumer publication that explains life insurance in general terms in order to assist the applicant in the decision-making process. And employee quits her job where she has a balance of $10,000 in her qualified plan. Cradle. A man decided to purchase a $100,000 Annually Renewable Term Life Policy to provide additional protection until his children finished college. Free Shipping on all orders | We're roasting your coffee right now how to detach from a codependent mother (+91)8050038874 george johnston biography [email protected] An investor buys a life insurance policy on an elderly person in order to sell it for a life settlement.. what is this an example of? Which policy provision allows this? Texas All Lines Adjuster Test - Questions And Answers-Accumulated Depreciation - The total decrease in an item's value over a period of time. Eligibility requirements for a license are established by the Insurance Code. Unintentional misspellings are not a misrepresentation. A copy of the notice to the Commissioner must be sent to the producer in question within 15 days. Any person found guilty of a violation of the Insurance Code of this state may be subject to a civil fine of up to $1,000 for each violation, or up to $5,000 for willful violations (not to exceed $50,000). In return, the insurer promised to pay benefits in accordance with the terms of the contract. What type of annuity is it? A Payment of restitution All of the following could own a group life insurance EXCEPT A group needing low-cost life insurance An applicant for a producer's license has successfully completed all of the steps to obtain the license. What type of insurance policy would perform the function of cash accumulation? What must be acceptable in order for the ride to be able to waive the payment of premium? D Controlled business. B D Producer commission schedules. A Discrimination. Is a program that assesses and reports information about various computer resources and devices. all of the following would be considered rebating except. NAIC. After five years, she decides to leave the company and work independently. An insured purchased an insurance policy 5 years ago. Cradle. 180 days. Horse racing is one of the oldest and most popular racing sports in the world, but how long is a horse race? A Illegal until endorsed by the Guaranty Association If a policy had an automatic premium loan provision, what happens if the insured dies before the loan is paid back? Describe the relationship between potential difference and electrical potential energy. What statement is true concerning buy-sell agreements? D Business Entity. any person acting as an insurance producer without a valid license may be fined up to. A policyowner fails to pay the premium due on his whole life policy after the grace period passes, but the policy remains in force. And insurance producer license may be renewed at the producer has paid the applicable fees, submitted the renewal form to the commissioner, and.. Having a client in inducement to a sale not stated in the policy is an unlawful practice known as? Whenever an individual stops drinking, the BAL will ________________. the spouse of a retiring insurance producer The accelerated benefits provision for an early payment of the death benefit when the insured.. An insured purchased a 15-year level term life insurance policy with a face amount of $100,000. A temporary license in this state is valid for a maximum of D Cancelling individual coverage based on the insured's marital status. To combat the Where is heavy cream in Walmart? If a beneficiary wants a guarantee that benefits paid from principal and interest would be paid for a period of 10 years before being exhausted, what settlement option should the beneficiary select? C Dividends from a mutual insurer. A Giving an applicant a $5 pen with the insurer's logo during the insurance application process If an insured receives accelerated death benefits, what is the least amount of the original death benefit that the beneficiary would receive after the insured's death? An individual who willfully violates this Act enough to constitute a general pattern or business practice will be subject to a penalty of up to. Insureds who have been classified as preferred risk will On a participating insurance policy issued by a mutual insurance company, dividends paid to policyholders are. Juan is the person employees go to when knowledge of a topic was needed. Rebates are allowed if it's in the best interest of the client. unit 3: personal and business finance grade boundaries. All of the following would be considered rebating except. D Collecting a lower premium than what's specified in a policy as a token of client appreciation. What information will be stated in the consideration clause of a life insurance policy? Concerning the taxation of premiums in a key- person life insurance policy is: Internal revenue code provision that specifically provides for an individual retirement plan for public school teachers is a(n), Example of liquidity in a life insurance contract. The designee of a producer that is called to active service with the Navy. Circulating deceptive sales material to the public is what type of Unfair Trade Practice? They could be sold for an amount greater than the current cash value, they involve insurance policies with large face amounts, they could be use for a key person coverage. What reports include written and/or oral information regarding a consumer's credit, character, reputation, or habits collected by a reporting agency from employment records, credit reports, and other public sources? To qualify for this exemption, they must apply to become resident licensees within a few days of establishing a legal residence within how many days? All of the following would be considered to be rebating EXCEPT A) An agent offers to share his commission with a policyholder B) An agent offers tickets to a baseball game as an inducement to buy insurance C) An agent uses misrepresentation to convince a person to cancel an existing policy and take a new policy from him A 60 days A domestic insurer issuing variable contracts must establish one or more.. Which of the following could be used when a corporation, association, partnership, or limited liability partnership acts as a producer? B 30 D False advertising. C Class C violation A Concealment. A 60 year old participate in a 401(k) plan takes a distribution in rolled it over to it I already within 60 days. All of the following would be considered rebating EXCEPT. C Consists of completing 24 hours of CE each biennium. Home; About Us. Which of the following has not been taken to court for further interpretation? The premiums paid by the employer in a business life insurance policy are. Why would removing a trade restriction, such as a tariff, lead to more rapid economic growth? Which of the following is a true statement regarding taxation of the accelerated benefits? 1 Answer/Comment. He discovered that his policy.. If an insurer terminates a producer, the Commissioner will receive a notification. An agent who deliberately makes a malicious statement about another insurance company is guilty of an illegal trade practice called. If the corporation collects the policy benefit, then. D Must be completed by all licensed resident and nonresident producers. A Defamation A Misdemeanor Rebating is an unfair trade practices and is regulated by law all of the following would be considered to be rebating except When twin brothers applied for life insurance from company a, the company found that while neither of them smoke and both had a very similar lifestyle, one of the twins was in a much stronger financial position than the . What is true regarding a non-qualified retirement plan? What is true of the cash surrender nonforfeiture option? When a persons only options for a contract are on a take it or leave it basis; prepared only by the insurer. If a policy has an automatic premium loan provision, what happens if the insured dies before the loan is paid back? B Nothing, unless the remarks were in writing Articles of merchandise with an invoice value of $5 or less for life insurance agents and $10 or less for property and casualty agents $10 or less are not considered rebates, and are allowed as gifts to insurance applicants or insured. Age C$2,000 Obtain appropriate signatures on the application for insurance, help prevent adverse selection, and solicit business that will fall within the insurer's underwriting guidelines. Which of the following, upon conviction, carries a fine of up to $2,000 for each violation? Playing your favorite game, Roblox, on Chromebook is quite achievable, but many users are only familiar with the Play Store method. "At the time of the application" is when interest must exist. An employee quits his job on May 15 and doesn't convert his group life policy to an individual policy for 2 weeks. When the policyowner specifies a dollar amount in which installments are to be paid, he/she has chosen which settlement option? B Coercion. B. Defamation. D Misrepresentation. D Unfair Discrimination. C Fine What are the classifications of net assets reported in the statement of financial position by private colleges? B$1,000 What settlement option should the policyowner choose? All of the following events will terminate a producer's certificate of appointment EXCEPT What type of policy is this? In reality, its financial health is terrible, and the company will soon have to file for bankruptcy. What brand of castor oil is best for hair? Forcing a client to buy insurance from a particular lender as a condition of granting a loan is defined as A Cannot be extended or waived under any circumstances. If an insured withdraws a portion of the death benefit by the use of this rider, the benefit payable at death will be reduced by that amount plus.. In order to to do that, what may happen? What determines the amount of each installment paid in a life income option arrangement? A. To appoint a producer as it's agent, the appointing insurer must file a notice of appointment with the commissioner within how many days from the date the agency contract is executed? B An offer to share in commissions generated by the sale. Requires the entire premium to be paid in one limp sum at the policy's inception. Is a mandatory provision that allows the insured to examine a policy, and if dissatisfied for any reason, return the policy for a full refund of any premiums paid. A licensee must inform the Commissioner of a change of legal name or address within 30 days of the change. C Twisting. To be able to pay some of her medical bills, she withdraws a portion of the policy's cash value. If an agent fails to obtain an applicant's signature on the application, the agent must An insurance contract that requires both the insured and the insurer meet certain conditions in order for the contract to be enforceable is (Example) When Y applied for insurance and paid the initial premium on August 14, he was issued a conditional receipt. The "owner" is the person who purchases the contract and has all of the rights such as naming the beneficiary and surrendering the annuity. In order for an insurer to legally transact insurance, it must obtain what? There are just too many details and specifications which you must be certain of when looking for one. The requirement that an agent not co-mingle insurance monies with their own fund is known as? Which of the following statements about the reinstatement provision is true? An employee quits her job where she has a balance of $10,000 in her qualified plan. 3. Requirements for life insurance illustrations: If a (consumer) requests additional information concerning an investigative consumer report, how long does the insurer or reporting agency have to comply? Time during which accumulated money is converted into an income stream. B Materially misrepresents an insurance policy. A Twisting. C 7 Search for an answer or ask Weegy. Earnings grow tax-deferred, contributions are not currently taxable, it can discriminate in benefits and selecting participants, For a retirement plan to be qualified, it must be designed for the benefit of. What license or licenses are required to sell variable life annuities? A 15 This rider usually expires at the insured's age of 40. Within how many days of this notification must the producer be sent a copy? Discriminating between individuals of the same class with equal life expectancies, or by reason of race, nationality, or ethnic group would be considered unfair discrimination. What are the three basic types of term coverage available, based on how the face amount (death benefit) changes during the policy term: Best description of what an annuity period is: Policy which allows the partial withdrawal, or surrender, of the policy cash value. Up to 12 excess credit hours of CE may be carried over to the next review period. He has instructed the company to apply the policy dividends to increase the death benefit. Under the fixed-period option, a specified period of years is selected, and equal installments are paid to the recipient. When an insurance agency published an advertising brochure, it emphasized the company's financial stability and sound business practices. Required by state law to be included in the policy, and cannot be altered by the policyowner. C Dividends from a mutual insurer. She also wished to retain all of the rights of ownership. The first three, Straight life, limited payment, and single premium, are the basic forms of whole life. How could she obtain an individual policy? An insurer publishes intimidating brochures that portray the insurer's competition as financially and professionally unstable.