Nj Life Insurance Exam Questions With Answers (Latest Update 2023)

Limited Pay Life {Ans: A Permanent Whole Life insurance policy on which premiums are paid for a specified number of years or to a specified age of the insured. Protection continues for the entire life of the insured. LP65 and 20-Pay Life are examples. A Life Paid up at age 65 is paid up at age 65, but the cash value does not equal the face amount of the policy until age 100 when the policy reaches maturity. Limited Pay Whole Life is more expensive than traditional Whole Life since the premiums must be paid within a shorter period of time.}Living Needs Rider {Ans: Provides for the payment of part of the policy death benefit if the insured is diagnosed with a terminal illness that will result in death within 2 years.}Consequences of Incomplete Applications {Ans: the insurer will not have the right to deny coverage based on any information that the unanswered question might have contained}Remittance Standards {Ans: all premiums must be remitted to the insurer within 5 business days after receipt of funds}whole life insurance {Ans: provides lifetime protection, and includes a savings element (or cash value) - Endow at the insured's age