Free Life Policy Provisions Options and Riders Practice Questions
Nebraska Life exam (series 13-01) — 148 practice questions.
Subtopics: Grace period, Free look, Incontestability, Reinstatement, Suicide clause, Misstatement of age, Entire contract, Cash surrender, Reduced paid-up, Extended term, Dividend options, Waiver of premium, Accidental death, Guaranteed insurability, Policy loans, Grace period interest, Representations, Backdating, Free look exception, Death claim payment, Interest on proceeds, Policy loan interest, Lapse notice, Replacement question, Replacement notice, Replacing insurer, Replacement free look, Replacement exemptions, Replacement definition, Sales material, Ownership, Assignment, Collateral assignment, Beneficiary primary, Contingent beneficiary, Revocable beneficiary, Irrevocable beneficiary, Per stirpes, Common disaster, Spendthrift clause, Settlement lump sum, Interest only, Life income option, Fixed period option, Fixed amount option, Automatic premium loan, Policy loan, 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, Grace period length, 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 provision that gives a life policyowner extra time after the premium due date to pay before the policy lapses is the:
Grace period
The grace period gives the owner extra time after the due date to pay before lapse; Nebraska requires one month for premiums after the first year (44-502(2)).
2. The free-look provision in a life insurance policy allows the policyowner to:
Return the policy within 10 days of delivery for a refund
Neb. Rev. Stat. 44-502.05 lets the purchaser return an individual life policy within ten days of delivery for a refund of premium; the policy is then void from the beginning.
3. After a life policy has been in force for two years, the incontestability clause generally prevents the insurer from:
Contesting the policy for misstatements except as the clause permits
Neb. Rev. Stat. 44-502(5) makes the policy incontestable after two years in force during the insured's lifetime, except for nonpayment and certain permitted limitations.
4. To reinstate a lapsed life insurance policy, the insurer typically requires:
Payment of back premiums with interest and evidence of insurability
Neb. Rev. Stat. 44-502(11) allows reinstatement within three years of default upon evidence of insurability and payment of arrears with interest.
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.
