Life insurance - practice test questions with verified answers

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Life insurance - practice test questions with verified answers A special characteristic of insurance contract where equal value is not exchanged between parties is known as: ✔✔Aleatory Life in... surance contracts are ___ agreements ✔✔Unilateral What is the proper definition of "take it or leave it" contracts written by insurer? ✔✔Adhesion using the human value approach, the best way to figure out the amount of death benefit is based on?: A. proposed insured's life span B. proposed insured's retirement date C. proposed insured's health status D. proposed insured's potential earnings ✔✔D. proposed insured's potential earnings an insurer pays a refund from the surplus of profits to the holder of a participating policy. what is this payment called? A. unlawful rebate B. dividend C. annuity D. not legal, as only stock companies pay dividends ✔✔B. policy dividend the non-forfeiture provision that would give the insured the most amount of coverage would be? A. cash surrender value B. extended term insurance C. reduced paid up insurance D. automatic premium loan ✔✔B. extended term insurance if you choose the settlement option of receivi [Show More]

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