6. Nv - Life Insurance Practice Final Examination

Louis owns a $10,000 term life policy. He paid the $200 annual premium on Feb 1. Louis fails to pay the second annual premium and dies on Feb 28 of the following year. How much will the beneficiary receive from Louis' insurance company a. $0 b. $10,000 c. $9,800 d. Non of the above {Ans: c. $9,800}Kevin takes out a loan from the cash value of his life policy, and subsequently dies. The insurance company will typically pay a. the face amount minus the interest and loan amount b. the full death benefit of the policy c. no less than $10,000 d. the full death benefit after receiving the loan balance from the beneficiary {Ans: a. the face amount minus the interest and loan amount}Under a group life insurance policy, an employee demonstrates her evidence of participation b producing a a. master policy b. certificate of insurance c. group policy d. premium receipt {Ans: b. certificate of insurance}All of the following are common life insurance policy provisions EXCEPT a(n) a. entire contract clause b. insuring clause c. free look period d. premium deductibility option {Ans: d. premium deductibility option}An agreement to purchase a deceased partner's share