Free Life Policy Provisions Options and Riders Practice Questions
Maryland Life exam — 143 practice questions.
Subtopics: Grace period, Incontestability, Reinstatement, Nonforfeiture, Waiver of premium, Accidental death, Guaranteed insurability, Settlement options, Policy loan, Beneficiary designation, Contingent beneficiary, Automatic premium loan, Misstatement of age, Suicide clause, Dividend options, 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, Entire contract, Ownership, Assignment, Collateral assignment, Beneficiary primary, Revocable beneficiary, Irrevocable beneficiary, Per stirpes, Common disaster, Spendthrift clause, Settlement lump sum, Interest only, Life income option, Fixed period option, Fixed amount option, Cash surrender, Reduced paid-up, Extended term, Partial withdrawal, Dividends not guaranteed, Paid-up additions, Accumulation at interest, Reduction of premium, Payor benefit, Accidental death rider, Cost of living rider, Long-term care rider, Spouse and child riders, Aviation exclusion, War exclusion, Retained asset account, Incontestability clause, Cash surrender value option, Surrender charge, Maturity date provision, Policy loan interest rate, Cash value deferment clause, Change of plan provision, Exchange privilege, One-year term dividend option, Cash dividend option, Per capita designation, Minor beneficiary, Estate as beneficiary, Class designation, Facility-of-payment clause, Uniform Simultaneous Death Act, Survivorship time clause, Changing the beneficiary, Accelerated death benefit rider, Disability income rider, Return of premium rider, Waiver of monthly deduction rider, Critical illness rider, Term insurance rider, Accidental death and dismemberment rider, Hazardous occupation exclusion, Commission-of-a-felony exclusion, Hazardous hobby exclusion, Default nonforfeiture option, Guaranteed policy loan value, Contestable period after reinstatement, Assignment notification, Third-party ownership, Automatic dividend application, Creditor protection of proceeds, Trust as beneficiary, Owner's right to dividends, Contingent owner, Net cash surrender value, Accidental death benefit, Incontestable exception, Incontestable typical period, Grace period standard, Reinstatement window, Reinstatement advantage, Suicide clause period, Misstatement of sex, Free look refund, Change of beneficiary, Primary beneficiaries share, Tertiary beneficiary, No beneficiary living, Settlement interest taxation, Life income period certain, Settlement option choice, Extended term duration, Nonforfeiture purpose, Policy loan unpaid lapse, Automatic premium loan election, Dividend options default, Accelerated benefit effect, Accelerated benefit tax, Chronic illness rider, Waiver of premium waiting, Guaranteed insurability options, ADB time limit, Accidental death exclusions, Other insured rider conversion, Assignment and beneficiary, Payor rider ends
Read the Life Policy Provisions Options and Riders study guide
Sample questions & answers
1. The Maryland-required life policy provision that keeps coverage in force for 30 days (or 1 month) after a renewal premium is due is the:
Grace period
Each Maryland life policy must allow a grace period of 30 days (or 1 month of not less than 30 days) for premiums after the first; the policy stays in force during it.
2. After a life policy has been in force for two years, the incontestable clause generally prevents the insurer from:
Contesting validity for application misstatements
A Maryland life policy must become incontestable, except for nonpayment of premiums, after it has been in force during the insured's lifetime for 2 years from issue.
3. Which is generally required to reinstate a lapsed life policy?
Evidence of insurability and payment of back premiums
Maryland life policies must allow reinstatement within 3 years of default (2 years for industrial) on written application, evidence of insurability and payment of overdue premiums with interest.
4. Which is a standard nonforfeiture option in a whole life policy?
Reduced paid-up insurance
Nonforfeiture options include cash surrender, reduced paid-up insurance, and extended term insurance, protecting accrued cash value.
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.
