Ohio Department of Insurance Ohio Department of Insurance Certifications OH-LIFE-AGENT-SERIES-11-44 Questions & Answers

• Question 61:

  While texting and driving, an Insured loses control of the vehicle and hits a tree. The resulting collision Is

  A. an exposure.

  B. a hazard.

  C. a peril.

  D. a risk.

  Correct Answer: C

• Question 62:

  Which of the following statements is TRUE regarding a waiver of premium rider?

  A. There will be no change in the policy other than the insured no longer has to pay the premiums on the policy.

  B. The policy's cash value will continue to grow, but at a slower rate because the insured is no longer paying premiums.

  C. The death benefit will be reduced by the amount of the unpaid premiums.

  D. The insured will automatically become eligible for accelerated death benefits.

  Correct Answer: A

• Question 63:

  All the following policies qualify for a 1035 Exchange EXCEPT

  A. a whole life policy to another whole life policy.

  B. a whole life policy to an annuity.

  C. an annuity to another annuity.

  D. an annuity to a whole life policy.

  Correct Answer: D

• Question 64:

  Extended term Insurance can be selected under which whole life policy provision?

  A. interest-only

  B. nonforfeiture

  C. cash value

  D. settlement

  Correct Answer: B

• Question 65:

  What law do all Insurers and their agents need to comply with In regards to Information being obtained from a third party concerning the applicant?

  A. Dodd Frank Act

  B. McCarran-Ferguson Act

  C. Fair Credit Reporting Act

  D. Unauthorized Insurers Service of Process Act

  Correct Answer: C

• Question 66:

  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 cash value is paid into the estate.

  C. The cash value is paid to the IRS.

  D. The company keeps the cash value.

  Correct Answer: B

• Question 67:

  Reinsurers are a specialized branch of the insurance industry because they

  A. provide insurance to otherwise uninsurable individuals.

  B. provide alternative means.

  C. Insure insurers.

  D. keep premiums low.

  Correct Answer: C

• Question 68:

  An insured has chosen to receive the payout from her husband's life insurance policy so that she will receive an Income for the next 10 years. At the end of that time, the entire proceeds from the policy will have been paid out. The insured has selected which option?

  A. Fixed period.

  B. Interest only.

  C. Fixed amount.

  D. Life income.

  Correct Answer: A

• Question 69:

  Upon the divorce of an insured who designated their spouse as the beneficiary, which of the following actions will result?

  A. the insured must pay 50% of the premiums paid to the spouse named as the beneficiary

  B. the spouse designated as beneficiary will remain an irrevocable beneficiary

  C. the designation of the spouse as a beneficiary is revoked

  D. the policy will automatically be terminated

  Correct Answer: C

• Question 70:

  A modified endowment contract (MEC) receives different tax treatment on pre-death distributions than other life Insurance policies because the modified endowment policy

  A. has a larger cash surrender value.

  B. generally pays dividends to the policyowner.

  C. tends to be an investment vehicle.

  D. does not provide for loans to the policyowner.

  Correct Answer: C