Free Life Policy Provisions Options and Riders Practice Questions
Maryland Life, Accident & Health exam — 104 practice questions.
Subtopics: Entire contract (life), Fixed period settlement, Fixed amount settlement, Interest only settlement, Accumulation at interest, Extended term option, Spendthrift clause, Common disaster, Assignment, Accelerated death benefit, Payor benefit rider, Cost of living rider, Reinstatement period, Reinstatement not allowed, Reinstated policy contestability, Policy loan interest, Deferring loans, Loan default notice, Backdating, Interest on death proceeds, Facility of payment, Permitted exclusions, Suicide exclusion on replacement, Prohibited provisions, Age outside limits, First-page description, Creditor protection, Grace period length, Death during grace period, Standard provisions, Beneficiaries, Beneficiary clauses, Settlement options, Nonforfeiture options, Policy loans, Dividend options, Riders, Grace period, Reinstatement, Incontestable clause, Suicide clause, Misstatement of age, Primary beneficiary, Irrevocable beneficiary, Minor beneficiary, Per capita, Estate as beneficiary, Dividend option cash, Dividend option reduce premium, Dividend option accumulate at interest, Dividend option one-year term, Joint and survivor settlement, Guaranteed insurability rider, Return of premium rider, Child term rider, Incontestability, War exclusion, Aviation and avocation exclusions, Exclusions, Dividends, Accelerated benefits, Premium modes, Free look, Entire contract, Change of owner
Read the Life Policy Provisions Options and Riders study guide
Sample questions & answers
1. The Entire Contract provision in a life policy means that the contract consists of:
The policy and the attached application
The Entire Contract provision states that the policy plus the attached application form the whole agreement; outside documents cannot be incorporated later.
2. The fixed-period settlement option pays the beneficiary:
Installments over a set number of years
The fixed-period option distributes proceeds plus interest in equal payments over a chosen number of years.
3. Under the fixed-amount settlement option, payments continue until:
The proceeds plus interest are exhausted
The fixed-amount option pays a chosen dollar amount per period until the proceeds and interest run out.
4. Under the interest-only settlement option, the insurer:
Keeps the proceeds and pays out the interest
With the interest-only option, the insurer retains the principal and pays interest to the beneficiary, often until a later date.
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Practice: Life Policy Provisions Options and Riders
Answer choices are shuffled every time, and every question comes with an explanation.
Practice questions are study aids generated for exam preparation and are not actual exam questions. Content is provided for educational purposes and is not legal advice. Verify current statutes, rules, and exam specifications with the Insurance Department and the exam administrator before relying on it.
