30 Questions
What is the requirement for the Suicide clause to be justified?
It must be applicable to Life and AD&D policies equally
When does Suicide cease to be a defense against payment?
After the second year of the policy
Under which provision can a father have life insurance premiums waived after his daughter's death?
Payor provision
What is a requirement for benefits under the Waiver of Premium provision?
Social Security disability eligibility is necessary for claims acceptance
Which type of insurance policies is the Waiver of Premium provision available on?
Both permanent and term insurance policies
When is an insured considered qualified for benefits under the Waiver of Premium provision?
When they are fully disabled
What is the main purpose of the automatic premium loan provision in an insurance policy?
To avoid a policy lapse
In the scenario where T and S are beneficiaries on a policy and S dies before their father, who will receive the death benefit after the father's death?
$0
What is the role of the Commissioner in the insurance industry?
Regulate and oversee insurance operations within a state
What is the frequency at which Disability Income benefits must be paid according to the Time Payment of Claims provision?
Monthly
When an insurance policyholder requests a policy loan, what are they essentially asking for?
A withdrawal from their policy's cash value
Under what circumstances would an insurance policy be at risk of lapsing?
When premium payments are not made on time
Which factor is irrelevant in determining how much paid-up additions can be purchased using dividends from a life insurance policy?
Beneficiary's age
Which life insurance rider allows the policyholder to have excess coverage?
Term rider
Which statement best describes the purpose of a certificate of authority in the insurance industry?
Permits an insurance company to transact business in Texas
In an Accident and Health policy, which clause defines the benefit amounts that the insurer will pay?
Insuring clause
If an applicant wants additional life insurance coverage beyond their base policy, which rider should they consider?
Term rider
What is NOT a factor that determines how much coverage can be purchased using dividends for paid-up additions from a life insurance policy?
Age of the beneficiary
What is the primary characteristic of a short-term medical expense policy?
Nonrenewable
In the context of Social Security Disability benefits, what percentage of the insured's Primary Insurance Amount (PIA) can be received?
100%
If an insured informs the insurance company about choosing a less hazardous occupation under the Change of Occupation provision, what action may the company take?
Increase her policy's coverage amount
Which term describes a policy that can be terminated at the end of the term without renewal?
Nonrenewable
What happens to an insured's policy coverage if they switch to a more hazardous occupation?
Decrease in coverage amount
Which benefit amount represents the maximum Social Security Disability benefit an insured can receive?
$100,000 annually
What is a characteristic of a Conditionally Renewable Health Insurance policy?
Premiums can increase at any time
What is the role of the Insurance Commissioner when examining the records of an insurance company?
Determine the company's solvency
Who is eligible to purchase a plan through the Marketplace?
Only legal residents who have been incarcerated
What is a feature of Optionally Renewable Health policies?
Insurer may renew the policy only if no claims have been filed the previous year
In what circumstance can premiums increase with Conditionally Renewable Health Insurance policies?
At any time
What is an essential power held by an Insurance Commissioner in relation to an insurance company?
Determining trust deposits
Test your knowledge on life insurance policies with questions related to purchasing paid-up additions, factors determining coverage, and types of insurance riders. Explore scenarios to understand how different variables affect life insurance policies.
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