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Insurance Licensing Life and Accident and Health or Sickness Producer - Combo Series 20-30 Sample Questions:
1. Which amount may be deposited into a rollover individual retirement account (IRA) for the purpose of deferring income taxes?
A) The value of an IRA established by the beneficiary's deceased parent
B) The amount paid to the spouse of a deceased annuitant under a tax-sheltered annuity
C) The proceeds of a life insurance policy paid to a beneficiary under age 70-1/2
D) The refund received by the beneficiary under a refund life annuity
2. Which of the following statements about the contestability of a life insurance policy is true?
A) The policy can be contested by the insurer only during the first two years of the contract
B) The policy can be contested by the insurer at all times
C) The policy cannot be contested by the insurer once it is paid for and issued
D) The policy can be contested only if the insured is convicted of a felony
3. The phrase, "this policy pays $1,800 for hospital room and board expenses," should include the:
A) Minimum daily benefit and the maximum time limit for hospital room and board expenses
B) Maximum daily benefit and the minimum time limit for hospital room and board expenses
C) Minimum daily benefit and the minimum time limit for hospital room and board expenses
D) Maximum daily benefit and the maximum time limit for hospital room and board expenses
4. Based on the law of large numbers, which one of the following is true if the number of similar insured units increases?
A) Losses of specific individuals can be predicted
B) The number of losses decreases
C) Predictability of losses is impaired
D) Predictability of losses improves
5. A conditional receipt must be given to an applicant for life insurance who pays the initial premium at the time of signing:
A) The policy application form
B) The premium payment bank draft authorization
C) The statement of good health
D) The policy delivery receipt
Solutions:
| Question # 1 Answer: B | Question # 2 Answer: A | Question # 3 Answer: D | Question # 4 Answer: D | Question # 5 Answer: A |






