Practice tips

How to work through life insurance and Texas-law questions under exam conditions.

Showing 71–80 of 83 articles · Page 8 of 9

Limited-Pay vs. Single-Premium Whole Life Practice QuestionsLimited-pay whole life requires premiums for a stated shorter period while coverage is designed to remain in force for life if policy conditions are m…
Interest-Sensitive Whole Life vs. Adjustable Life Practice QuestionsInterest-sensitive whole life generally keeps a whole-life policy structure while current interest assumptions can affect values or premiums according…
Universal Life Death Benefit Option A and B Practice QuestionsUnder common universal-life designs, Option A generally pays a level specified amount, while Option B generally pays the specified amount plus account…
Indexed Annuity Crediting Calculation Practice QuestionsAn indexed annuity credits interest using a contract formula tied to an index, not by directly investing the owner in that index. Apply only the state…
Fixed vs. Variable Annuity Risk Practice QuestionsA fixed annuity generally credits interest or pays benefits under contract guarantees backed by the issuing insurer, while a variable annuity exposes …
Annuity Free-Withdrawal and Surrender-Charge Practice QuestionsA surrender charge is calculated under the contract’s charge schedule and stated base; a free-withdrawal allowance may exempt a limited amount. Calcul…
Annuity Exclusion-Ratio Calculation Practice QuestionsUnder a simplified exclusion-ratio problem, divide adjusted investment in the contract by expected return to get the tax-free percentage, then apply i…
Nonqualified Annuity Withdrawal Tax Practice QuestionsFor many nonqualified deferred annuities, a withdrawal before annuitization is generally taxable gain-first until contract gain is exhausted, subject …
Annuity Beneficiary Payment Practice QuestionsBefore annuitization, a beneficiary may receive the contract’s death benefit or remaining value under its accumulation-phase terms. After annuitizatio…
Life Insurance Premium Modes and Automatic Premium Loan Practice QuestionsPremium mode describes how often a life policy premium is paid, such as annually, semiannually, quarterly, or monthly. More frequent installments may …