Question 1

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-Living benefits would [increase | decrease] the proceeds available for beneficiaries.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 2

Marco is 45 years old and earns $65,000 annually.The multiple earnings approach to determine the amount of life insurance needed shows that he should have 6.0 times his annual earnings.An assessment shows total financial resources needed of $2,148,000 and total financial resources available of $1,848,000.Based on the needs analysis method,how much insurance should Marco have? (Show all work.)

Accepted Answer

The answer of Marco is 45 years old and earns...

Question 3

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-A life insurance agent who takes her profession seriously is likely to have earned the [CPCU | CLU] professional certification.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 4

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-If you have $300 per year available for life insurance,you could get higher life insurance protection with a [continuous premium | limited payment] policy.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 5

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-With traditional whole life policies sold by an agent,sales commissions and marketing expenses account for up to [25% | 150%] of the first year's premium.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 6

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-[Level premium | annual renewable] term policies have become much more popular in recent years.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 7

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-A [viatical settlement | guaranteed purchase option] allows a terminally ill insured to receive benefits before death.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 8

Alice is 40 years old and earns $85,000 annually.The multiple earnings approach to determine the amount of life insurance needed shows that she should have 6.5 times her earnings.How much insurance should Alice have? (Show all work.)

Accepted Answer

The answer of Alice is 40 years old and earns...

Question 9

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-A life insurance policy should contain which of the following? [policy description | co-insurance clause].

Accepted Answer

The answer of Choose the word or phrase in [...

Question 10

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-You can learn about the financial strength of an insurance company by checking [the SEC's | A.M.Best's] rating system.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 11

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-Insurance is a tool that can lessen [economic | accident] risk.

Accepted Answer

The answer of Choose the word or phrase in [...

Quiz 8: Insuring Your Life

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -Living benefits would [increase | decrease] the proceeds available for beneficiaries.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -[Level premium | annual renewable] term policies have become much more popular in recent years.

Alice is 40 years old and earns $85,000 annually.The multiple earnings approach to determine the amount of life insurance needed shows that she should have 6.5 times her earnings.How much insurance should Alice have? (Show all work.)

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -A life insurance policy should contain which of the following? [policy description | co-insurance clause].

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -Insurance is a tool that can lessen [economic | accident] risk.