M had an annual life insurance premium payment due January 1. She died January 10 without making the premium payment. What action will the insurer take?

A - Pay face amount minus the past due premium

B - Subtract past due premium from cash value

C - deny the claim

D - collect premium from M's estate

Answer: A - pay face amount minus the past due premium

Insurance Policies

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All of the following are considered limited lines of authority EXCEPT
What is the other term for the cash payment settlement option?
The pro rata liability clause is designed to protect the principle of
What does the Group Life underwriting risk selection process help protect insurance companies from?
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All of these statements concerning whole life insurance are false EXCEPT
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All of the following could own group life insurance EXCEPT
Fixed annuities provide each of the following EXCEPT
What is the purpose of establishing the target premium for a universal life policy?
A domestic insurer issuing variable contracts must establish one or more
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All of these statements about the Waiver of Premium provision are correct EXCEPT
Which of the following best defines target premium in a universal life policy?
What does the word "level" in Level Term describe?
A beneficiary change can occur
No existing agent's license will be revoked until
Which of the following statements about aleatory contracts is NOT true?
A type of group that has a constitution and bylaws and has been organized for purposes other than obtaining insurance is called a(n)
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Under an extended term nonforfeiture option, the policy cash value is converted to
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The two major actions required for a policyholder to comply with the Reinstatement Clause are
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In an insurance contract, the applicant's "consideration" is the
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How many pair of glasses in a 12-month period will a vision expense insurance plan cover?
The voluntary relinquishment of a legal right is called
What documentation grants express authority to an agent?
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All of the following statements are true regarding installments for a fixed amount EXCEPT
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Which contract element is insurable interest a component of?
Which nonforfeiture option provides coverage for the longest period of time?
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A securities license is required for a life insurance producer to sell
Which of the following statements about accumulated interest earned on dividends from an insurance policy is TRUE?
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All of the following are true regarding a decreasing term policy EXCEPT
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Health insurance will typically cover which of the following perils?
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Insurable interest does NOT occur in which of the following relationships?
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The pro rata liability clause is designed to protect the principle of
When the principal gives the agent authority in writing, it's referred to as
What is the benefit of choosing extended term as a nonforfeiture option?
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What would be an expense factor in an insurance program?
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The paid-up addition option uses the dividend
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Who is responsible for assembling the policy forms for insureds?
Life income joint and survivor settlement option guarantees
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Which of the following is NOT true regarding a Certificate of Authority?
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The requirement that agents not commingle insurance monies with their own funds is known as
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Circulating deceptive sales material to the public is what type of Unfair Trade Practice?
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What documentation grants express authority to an agent?

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