Primerica Life Insurance Questions & Answers
Which will be included in a policy summary?(Ans- Premium amounts and surrender values
Why should the producer personally deliver the policy when the first premium has already been paid?(Ans- To help the insured understand all aspects of the contract
An insurance contract requires that both the insured and the insurer meet certain conditions in order for the contract to be enforceable. What contract characteristic does this describe?(Ans- Conditional
If a policy includes a free-look period of at least 10 days, the Buyer's Guide may be delivered to the applicant (Ans- With the policy
If an applicant for a life insurance policy is found to be a substandard risk, the insurance company is most likely to (Ans- Charge a higher premium
Which of the following best details the underwriting process for life insurance?(Ans- Selection, classification, and rating of risks
Upon policy delivery, the producer may be required to obtain any of the following EXCEPT (Ans- Signed waiver of premium
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Which of the following is a risk classification used by underwriters for insurance?(Ans- Standard
Which of the following documents delivered to the policy owner includes information about premium amounts, cash values, surrender values, and death benefits for specific policy years?(Ans- A policy summary
When both parties to a contract must perform certain duties and follow rules of conduct to make the contract enforceable, the contract is (Ans- Conditional
Representations are written or oral statements made by the applicant that are (Ans- Considered true to the best of the applicant's knowledge
Most agents try to collect the initial premium for submission with the application. When an agent collects the initial premium from the applicant, the agent should issue the applicant a (Ans- Premium receipt
All of the following are duties and responsibilities of producers at the time of application EXCEPT (Ans- Change any incorrect statement on the application by personally initialing next to the corrected statement (must be initialed by the applicant)
In insurance policies, the insured is not legally bound to any particular action in the insurance contract, but the insurer is legally obligated to pay losses covered by the policy. What contract element does this describe?(Ans- Unilateral
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An insurer neglects to pay a legitimate claim that is covered under the terms of the policy. Which of the following insurance principles has the insurer violated?(Ans- Consideration
Which of the following is TRUE regarding the premium in term policies?(Ans- The premium is level
Which of the following terms best describe the coverage provided by term policies, as compared to any other form of protection?(Ans- Greatest
Which of the following types of insurance policies would provide the greatest amount of protection for a temporary period during which an insured will have limited financial resources?(Ans- Term
A Return of Premium term life policy is written as what type of term coverage?(Ans- Increasing
All of the following are true regarding a decreasing term policy EXCEPT (Ans- The payable premium amount steadily declines throughout the duration of the contract
What does "level" refer to in level term insurance?(Ans- Face amount
Which best describes annually renewable term insurance?(Ans- It is level term insurance
What characteristic makes whole life permanent protection?(Ans- Coverage until death or age 100
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