all of the following are nonforfeiture options except

B) Make a premium payment after the due date without any loss of coverage C) Ike will have a level premium C) The policys premiums will increase after 20 years B) dies of a stroke A) Entire contract period The policyholder will receive a partial or full refund of premiums paid if the policy lapses after a defined period due to missed premium payments. The policyis calculatedfrom the insureds attained age. The restaurant hires only male wait staff. C) Paid-up option Forfeiture is broadly defined as the loss of property for failing to obey the law, and that property is generally lost to the state. Joanne has a $100,000 whole life policy with an accumulated $25,000 of cash value. A) Payment mode For traditional whole-life policies, the policyholder decides how they would like to access the policys cash value. Interest Only The length of time when the new policy will be in force will depend on the cash values available from the original policy and the age of the insured party at the time the person chooses the extended-term option. C) the right to change a policy provision Diffusion Let us complete them for you. It is not taxable B) Application C) Reinstatement period Who the policyowner is and what rights the policyowner is entitled to. Which life policy is designed to provide the policyowner a hedge against the effects of inflation? B) Pay age-corrected benefits b) Variable life Because variable life policies invest in the insurer's separate accounts and allow the policyowner to choose specific investment strategies, the interest rates will fluctuate depending upon the performance of the investments. Insurance companies can send delinquent interest accounts to a collection agency B) the death benefit B) Free look period D) nonforfeiture provision, A whole life insurance policy accumulates cash value that becomes, A) the policy loan value which the insured may borrow against Depending on the age of the policy, the cash surrender value could be less than theactual cash value. a) Conversion b) Decreasing Term c) Reduced Paid-up d) Extended Term. Meanwhile, theequity you built is used to purchase a term policy that equals the number of years you paid premiums. A) The face amount and policy premium are not affected by the payment B) incontestable period Dorian exercised a nonforfeiture option by using his life policys cash value to purchase an extended term insurance option. B) select a beneficiary Nonforfeiture clauses offer protection in the event a policyholder stops paying their premium. D and his wife divorce and D remarries, transferring ownership of his policy to his new wife. D) Payor benefit. C) Dividend schedule The same face amount as in the whole life policy. The Accelerated Death Benefit provision in a life insurance policy is also known as a(n), Which statement is TRUE in regards to a policy loan? Pat owns a 20-pay life policy with a paid-up dividend option. Required fields are marked *. A) Contest the terms of the policy after the issue date Must have a terminal illness to qualify. When an accidental death benefit is added to a whole life policy, how does this affect the policys cash value? D) The agents obligation to pay a death benefit upon an approved death claim, C) The insurers obligation to pay a death benefit upon an approved death claim. D) Grace period, All of these are standard exclusions found in a life insurance policy EXCEPT, A) hazardous occupations 2. A) It allows for a spouse to be added as a rider to a life insurance policy Unpaid interest will be added to your loan amount and will be subject to compounding. C) are limited by the face amount of the policy B) 1/2 of the policys face amount Which nonforfeiture option has the highest amount of insurance protection? Let us have a look at your work and suggest how to improve it! C) suicide Of the following dividend options, which of these is taxable? Cash surrender value b. dividend amount used toward purchase Minn. Stat. The policy would retain a cash value component, but it would grow at a reduced rate. D is the policyowner and insured for a $50,000 life insurance policy. A) Active What is the name of the provision which states that a copy of the application must be attached to the policy when issued? D) a source of funding a term rider to the policy, A) the policy loan value which the insured may borrow against. A waiting period must pass before becoming eligible for benefits Opt for reduced coverage with a reduced death benefit for the remaining term of the insurance. until after the adjusting entries are made? d) Reduced Paid-Up Insurance. All of the following are Nonforfeiture options EXCEPT A Extended term B Reduced paid-up C Interest only D Cash surrender `````C Interest only Which statement is NOT true regarding a Straight Life policy? RogersCoprorationUnadjustedTrialBalanceDecember31,2019, AccountDebitCreditCash$3,100AccountsReceivable15,900Supplies4,200PrepaidRent9,500Equipment625,000AccumulatedDcprcciation$104,000OtherAssets60,900AccountsPayable9,400UnearnedServiceRevenue11,200NotePayable(due2022)50,000CommonStock279,500RetainedEarnings,12/31/201837,000ServiceRevenue598,000WagesExpense137,000RentExpense229,000InterestExpense4,500Totals$1,089,100$1,089,100\begin{array}{lrr} D) Cash surrender. Which of these is NOT considered to be a common life insurance nonforfeiture option? fixed-period option. Which of the following does a policyowner NOT have a right to change? b) Within 3 years. D) war, An insured individual and the policys beneficiary die from the same accident. Which situation accurately describes a reduced paid-up nonforfeiture option? Life Policy, Riders and OptionsQ1 Quiz - Quizizz All of the following are true regarding a decreasing term policy EXCEPT The insured's premiums will be waived until she is 21. D) Insured has become terminally ill. What Is Charitable Gift of Life Insurance? cash (lump sum). Are you looking for the correct answer to the question All of the following are considered to be nonforfeiture options available to a policyowner EXCEPT? One of the questions on the application asks if P engages in scuba diving, to which P answers "No". B) Status The interest credited under this option is TAXABLE, whether or not the policyowner receives it. Which of the following is CORRECT regarding the death benefit amount? a) The company b) The insured c) The agent d) The counselor. C) Riders Chapter 3 - Life Policy provisions, riders, and option - Chegg \hline \text { Cash } & \$ 3,100 & \\ All of the following are dividend options EXCEPT: Fixed-period installments. \text { Account } & \textbf { Debit } & \textbf { Credit } \\ One life insurance policy provision specifies that the insurer cannot deny payment to the beneficiary because of concealment or misrepresentation if the life insurance policy has been in force for two years during the insured's lifetime. A) Net death benefit will be reduced if the loan is not repaid A) The policys cost basis is taxable D) The amount of premiums paid will be returned with interest, C) The death benefit paid will be what the premium would be purchased at the correct age. Which policy provision protects the policyowner from unintentional lapse of the contract? c) Reducation of Premium The policy is then issued with no scuba exclusions. Which of these require an offer, acceptance, and consideration? Insurance Exam Review Questions Flashcards | Chegg.com All of these would be factors that determine how much coverage can be purchased EXCEPT A) Bank loans D) war. An insurance contract must contain all of the following to be considered legally binding EXCEPT a) Consideration b) Competent parties c) Beneficiary's consent d) Offer and Acceptance. D) experiencing financial hardship. ", "Standard nonforfeiture law for life insurance.". Cash surrender value applies to the savings element of whole life insurance policies payable before death. reduction of premium Which situation accurately describes a reduced paid-up nonforfeiture option? After reading about the changes in the government's role in the economy, write a one-page essay arguing whether you think those changes are helpful or harmful to the U.S. economy. D) Beneficiary. C) reinstatement provision All of the following life insurance policies develop a cash value EXCEPT term life insurance. the benefit can be offered as a rider at a specific extra cost or may be at no cost. What is an insurer required to do when faced with an error made under the Misstatement of Age provision? When is the face amount of a Whole Life policy paid? B) add-on Cash surrender value applies to the savings element of whole life insurance policies. What does the ownership clause in a life insurance policy state? Question 8 30 seconds Q. D) the right to return the policy for a full refund within a specified number of days, D) the right to return the policy for a full refund within a specified number of days, The double indemnity provision in a life insurance policy pertains to an insureds death caused by a(n), A) sickness D) Mandatory provision, In order to activate the reinstatement clause of a lapsed life insurance policy, the insured MUST, A) remit all past-due premiums within the grace period An automatic premium loan is not considered a Nonforfeiture Option. B) aviation What is an insurer required to do when faced with an error made under the Misstatement of Age provision?

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