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Life Insurance Practice Questions — Page 2 of 13

639 free life insurance questions for the California Life & Health insurance license exam. Pick any question — answer it and get the full 3-part explanation, no signup required.

  1. 51.Which of the following is guaranteed in a traditional whole life policy?
    Difficulty 1/5
  2. 52.A small firm wants to continue paying an employee's salary to the employee's surviving family for a period …
    Difficulty 2/5
  3. 53.Under a salary continuation plan, what is the purpose of the life insurance coverage?
    Difficulty 2/5
  4. 54.A client wants a policy that allows the premium amount and the face amount to be changed up or down within …
    Difficulty 2/5
  5. 55.In a universal life insurance policy, the insurer typically deducts which amounts from the cash value on a …
    Difficulty 2/5
  6. 56.Which statement about a nonparticipating life insurance policy is correct?
    Difficulty 1/5
  7. 57.A sole proprietor wants coverage that pays the business's fixed operating expenses — rent, salaries, utilit…
    Difficulty 2/5
  8. 58.An employer promises to pay a key executive a set sum at retirement and funds that future obligation with l…
    Difficulty 3/5
  9. 59.A business wants to continue paying an executive's salary for a period after the executive's death. The bus…
    Difficulty 2/5
  10. 60.Compared with a traditional fixed universal life policy, the policyowner of a variable universal life (VUL)…
    Difficulty 2/5
  11. 61.A nonparticipating life insurance policy differs from a participating policy primarily in that a nonpartici…
    Difficulty 1/5
  12. 62.A whole life policy is issued with premiums that start lower than the level whole life premium and increase…
    Difficulty 2/5
  13. 63.A variable universal life (VUL) policy differs from a fixed universal life policy primarily because the VUL:
    Difficulty 2/5
  14. 64.Which type of insurer is generally associated with issuing nonparticipating life insurance policies, which …
    Difficulty 1/5
  15. 65.Life insurance is often said to create an "instant estate." What does this mean?
    Difficulty 1/5
  16. 66.Which statement best describes a level term life insurance policy?
    Difficulty 1/5
  17. 67.Which statement correctly describes a nonparticipating life insurance policy?
    Difficulty 2/5
  18. 68.A universal life policy states a 'guaranteed maximum premium.' What does that guarantee mean?
    Difficulty 2/5
  19. 69.A single premium whole life policy is characterized by:
    Difficulty 1/5
  20. 70.Which statement about a nonparticipating life insurance policy is correct?
    Difficulty 1/5
  21. 71.An endowment policy pays the face amount to the insured if the insured survives to the policy's maturity da…
    Difficulty 1/5
  22. 72.A whole life policy charges a lower premium during the first three years and a higher level premium for the…
    Difficulty 2/5
  23. 73.Which statement correctly describes a variable universal life (VUL) policy?
    Difficulty 2/5
  24. 74.Which statement is correct about the death benefit of a variable life insurance policy?
    Difficulty 2/5
  25. 75.Two business partners are insured under one policy that pays the face amount upon the death of the first of…
    Difficulty 2/5
  26. 76.In a universal life policy, the premium amount the insurer is contractually guaranteed never to charge more…
    Difficulty 2/5
  27. 77.A policyowner purchases a variable life insurance policy funded through a separate account. Which party ass…
    Difficulty 2/5
  28. 78.A whole life policy charges a lower premium during the first two years and then a higher, level premium for…
    Difficulty 2/5
  29. 79.Each month, a universal life insurer deducts a charge from the policy's cash value to cover the pure mortal…
    Difficulty 2/5
  30. 80.Which statement correctly describes where the investment risk lies under a variable universal life (VUL) in…
    Difficulty 2/5
  31. 81.A family income rider attached to a whole life policy provides what type of benefit?
    Difficulty 2/5
  32. 82.A joint life insurance policy covering two insureds pays the death benefit:
    Difficulty 1/5
  33. 83.A family income policy provides the beneficiary with a monthly income for the remainder of a stated income …
    Difficulty 2/5
  34. 84.A family income rider added to a life insurance policy is designed to:
    Difficulty 2/5
  35. 85.A modified whole life insurance policy is characterized by:
    Difficulty 2/5
  36. 86.A policyowner pays a whole life premium on a monthly basis rather than annually. Compared with one annual p…
    Difficulty 2/5
  37. 87.A policy that covers two insureds and pays the death benefit when the first of the two insureds dies is kno…
    Difficulty 1/5
  38. 88.Which statement best describes a modified premium whole life insurance policy?
    Difficulty 2/5
  39. 89.A client purchases a whole life policy with premiums payable for only 20 years, after which the policy is f…
    Difficulty 1/5
  40. 90.A breadwinner buys a life policy with a family income rider. If the insured dies during the rider period, t…
    Difficulty 2/5
  41. 91.When an agent presents a universal life illustration showing a projected premium, the contract also states …
    Difficulty 2/5
  42. 92.Under a 20-pay life policy, the policyowner pays premiums for 20 years. After the premium-paying period end…
    Difficulty 1/5
  43. 93.Which feature is characteristic of a traditional whole life insurance policy?
    Difficulty 1/5
  44. 94.A rider that pays the insured's family a monthly income after the insured's death, continuing until the end…
    Difficulty 2/5
  45. 95.Under a single premium whole life policy, the insured:
    Difficulty 1/5
  46. 96.In a "jumping juvenile" life insurance policy, the face amount:
    Difficulty 1/5
  47. 97.A policy insures two lives and pays the face amount upon the death of the first insured to die. This type o…
    Difficulty 2/5
  48. 98.A family policy provides life insurance coverage on the breadwinner (typically whole life) plus:
    Difficulty 2/5
  49. 99.A jumping juvenile life insurance policy is designed so that:
    Difficulty 2/5
  50. 100.With a single-premium whole life policy, the policyowner:
    Difficulty 1/5