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Insurance Licensing New York Life, Accident and Health Insurance Agent/Broker Examination Series 17-55 Sample Questions:
1. The difference between the face value of a life insurance policy and its cash value is the
A) net amount.
B) market value.
C) assumed amount.
D) term value.
2. Mortality is based on a large risk pool of
A) income and time.
B) people and time.
C) family history and hobbies.
D) geographic area and time.
3. Some states have laws ensuring that health insurance coverages are available at a reasonable cost and under reasonable conditions for small employers. Small employers are defined as having no more than
A) 75 employees.
B) 150 employees.
C) 200 employees.
D) 100 employees.
4. A whole life policy is replaced with an annuity without incurring a tax penalty. This is referred to as
A) an Endowment Contract.
B) a Transfer of Value.
C) a Cross-Purchase Plan.
D) a 1035 Exchange.
5. An annuitant dies during the accumulation period. What happens to the cash value in the annuity?
A) The cash value is paid to the beneficiary.
B) The company keeps the cash value.
C) The cash value is paid to the IRS.
D) The cash value is paid into the estate.
Solutions:
Question # 1 Answer: A | Question # 2 Answer: B | Question # 3 Answer: D | Question # 4 Answer: D | Question # 5 Answer: A |