XCEL Life Underwriting & Annuities Questions and Answers Already Passed

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XCEL Life Underwriting & Annuities Questions and Answers Already Passed Which of the following statement is CORRECT about an agent who is taking an insurance application? ✔✔The agent should hav... e the applicant initial any changes made on the application Agent J takes an application and initial premium from an applicant and sends the application and premium check to the insurance company. The insurance company returns the check back to J because the check is made out to J instead of the insurance company. What action should J take? ✔✔Return to the customer, collect a new check made out to the insurance company, and send the new check out to the insurance company Which of these terms accurately defines an underwriter's assessment of information on a life insurance application? ✔✔Risk classification Which of the following correctly explains the action explains the actions an agent should take if a customer wants to apply for an insurance policy? ✔✔Complete the application and review the information with the customer prior to obtaining the customer's signature, then send the application off to the insurance company Under the USA Patriot Act, the insurers are required to report receipt of cash payments in excess of: ✔✔$10,000 Which factors are taken into consideration when an insurance company determines the premium rate for a Whole Life policy on an applicant? ✔✔Risk classification What is being delivered during a policy delivery? ✔✔Insurance contract to the proposed insured From what authority derives the requirement that an insurance application contains a disclosure stating that an investigative consumer report may be obtained on an applicant? ✔✔Fair Credit Reporting Act When a policyowner cash surrenders a Universal Life insurance policy in it's early years, this may be considered a red flag for a(n): ✔✔Anti-Money Laundering violation An agent gives a conditional receipt to a client for an insurance policy after collecting the initial premium. When will the policy become effective? ✔✔When the conditions of the receipt are met A Medical Information Report (MIB) report may disclose which of the following: ✔✔Prior use of marijuana An applicant's medical information received from the Medical Information Bureau (MIB) may be furnished to the: ✔✔Applicant's physician Which parts of a life insurance policy are guaranteed to be true? ✔✔Warranty ABC Insurance Company has accepted a life insurance application which contains unanswered questions. The company then makes the application part of the life contract. In this situation, the insurer has: ✔✔Waived one of its legal rights A life insurance application must be signed by all of these, EXCEPT: ✔✔Beneficiary M completes an application for life insurance but does not pay the initial premium. All of these actions must occur before M's policy goes into effect EXCEPT: ✔✔Free-look period has expired What action should a producer take if the initial premium is NOT submitted with the application? ✔✔Forward the application to the insurer without the initial premium On August 6, D submitted an application for a $50,000 Life Insurance policy and did not pay the initial premium. On August 18, D went to his doctor complaining of chest pains and some tests were given by the doctor. The life policy was delivered by the producer on August 20 and D explains what had recently taken place with the doctor. What action should the producer then take? ✔✔Collect initial premium along with a signed health statement An insurance company may NOT reject a prospective insured's life application on the basis of which of the following factors? ✔✔Gender K applies for a life insurance policy on herself and submits the initial premium with the application. She is given a receipt by the agent stating the coverage begins immediately if the application is approved. What kind of receipt was used? ✔✔Conditional Upon delivery of a rated life insurance policy, the Producer must obtain each of the following EXCEPT: ✔✔Signed HIPAA disclosure T, age 70, withdraws cash from a profit-sharing plan and purchases a Straight Life Annuity. What will this transaction provide? ✔✔Income that cannot be outlived by the owner The annuity that represents the largest possible monthly payment to an individual annuitant is a(n): ✔✔Straight Life annuity What type of annuity has a cash value that is based upon the perfomance of it's underlying investment funds? ✔✔Variable Which of these is an element of a Single Premium annuity? ✔✔Lump-sum payment P, age 50, purchased an annuity that P will fund with $500/ month for 15 years. The annuity will then pay P retirement payments after the 15 years. Which type of annuity did P purchase? ✔✔Deferred What is considered to be a characteristic of an immediate annuity? ✔✔Benefit payments start within one payment period of purchase Which of the following statements regarding a Tax Sheltered Annuity (TSA) is INCORRECT? ✔✔The income from the TSA is received income tax-free Which of the following annuities pays benefits based on units rather than specific dollar amounts? ✔✔A Variable annuity G purchased a $50,000 single premium, Straight Life Annuity 2 years ago. G has been receiving monthly payments from the annuity. When G dies, the insurer ✔✔Does not have to make any further payments T has an annuity that guarantees an income payment for the rest of his life. The contract also guarantees that if T dies before receiving payments for 20 years, the remaining payments will be paid to his son for the balance of the 20 years. What type of annuity is this? ✔✔Life Annuity with Period Certain W is a 39-year old female who just purchased an annuity to provide income for life starting at age 60. All of these would be acceptable annuity choices EXCEPT a(n): ✔✔Immediate annuity [Show More]

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