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1. Insurable interest is a component of which contract element?
A) Legal purpose
B) Consideration
C) Competent parties
D) Agreement
2. When the Commissioner believes a producer has violated an insurance law, the Commissioner has the authority to:
A) Issue a cease and desist order against the producer after a hearing
B) Cancel the producer's fiduciary responsibility
C) Increase the producer's continuing education requirement
D) Terminate the producer's appointment
3. Falsifying the terms, benefits, advantages, or conditions of an insurance policy is an example of which of the following?
A) Misrepresentation
B) Concealment
C) Coercion
D) Forgery
4. If an insurer determines the insured is totally disabled, the policyowner is relieved of paying the policy premiums as long as the disability continues. This statement describes the
A) premium suspension clause.
B) waiting period exemption.
C) disability income rider.
D) waiver of premium rider
5. Under traditional fixed annuity contracts, the party who assumes the investment risk is the
A) beneficiary.
B) annuitant.
C) contract owner
D) insurer.
Solutions:
| Question # 1 Answer: A | Question # 2 Answer: A | Question # 3 Answer: A | Question # 4 Answer: D | Question # 5 Answer: D |
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