Free Life Policy Provisions Options and Riders Practice Questions
Tennessee Life, Accident & Health exam — 115 practice questions.
Subtopics: Automatic premium loan, Policy loan, Suicide clause, Assignment, Extended term, Dividend options, Settlement options, Cost-of-living rider, Return of premium, Children's term rider, Grace period, Incontestability, Representations, Attached application, Dividends, Policy loans, Nonforfeiture table, Reinstatement, Death claims, Suicide exclusion, Aviation exclusion, Permitted exclusions, Legal actions, Backdating, Hazardous occupation, Lapse notice, Group life grace period, Group life conversion, Group life beneficiary, Group life certificates, Group life incontestability, Notice of conversion, Replacement free look, Standard provisions, Beneficiaries, Beneficiary clauses, Nonforfeiture options, Riders, Incontestable 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, Cost of living rider, Payor benefit rider, Return of premium rider, Child term rider, War exclusion, Aviation and avocation exclusions, Exclusions, 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. A whole life feature that uses available cash value to cover an unpaid premium and prevent lapse is the:
Automatic premium loan
The automatic premium loan provision pays an overdue premium from the policy's cash value to prevent lapse.
2. The right of a whole life owner to borrow against the policy's cash value is the:
Policy loan provision
The policy loan provision lets the owner borrow against accumulated cash value, with unpaid loans reducing the death benefit.
3. If a life insured dies by suicide within the policy's stated suicide period, the insurer generally:
Refunds premiums instead of paying the face
Tennessee permits a suicide exclusion (sane or insane) for two years from issue; the insurer typically returns premiums paid rather than paying the face amount.
4. Transferring ownership rights in a life policy to another party is called:
Assignment
Assignment is the transfer of policy ownership rights; it may be absolute or collateral.
All Life, Accident & Health topics
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.
