Free Life Policy Provisions Options and Riders Practice Questions
New Jersey Life exam — 135 practice questions.
Subtopics: Grace period, Incontestability, Suicide clause, Reinstatement, Nonforfeiture, Settlement options, Waiver of premium, Accelerated death benefit, Policy loan, Grace period interest, Death in grace period, Incontestability exclusions, Entire contract, Misstatement of age, Dividends, Dividend options, Policy loans, Reinstatement period, Reinstatement requirements, Death claim timing, Claim investigation notice, Claim decision, 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, Cash surrender, Reduced paid-up, Extended term, Automatic premium loan, Partial withdrawal, Dividends not guaranteed, Paid-up additions, Accumulation at interest, Reduction of premium, Payor benefit, Accidental death rider, Guaranteed insurability, 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 allows a life premium to be paid after the due date without lapse is the:
Grace period
New Jersey life policies must allow a 30-day (or one month of not less than 30 days) grace period during which the policy stays in force.
2. After a New Jersey life policy has been in force for the contestable period, the insurer generally cannot void it for:
Misstatements in the application, except fraud as allowed
After the policy has been in force for 2 years during the insured's lifetime, it is incontestable except for nonpayment of premium.
3. Under a typical life policy suicide clause, if the insured dies by suicide within the stated period the insurer:
Refunds premiums paid instead of the face amount
During the suicide exclusion period the insurer typically returns premiums rather than paying the face amount.
4. What must the owner generally do to reinstate a lapsed life insurance policy?
Provide evidence of insurability and pay back premiums with interest
Reinstatement within 3 years requires written application, evidence of insurability, and payment of premiums in arrears and any indebtedness 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.
