Life Producer Exam (Mi)

In the state, a temporary license may be issued for any of the following reasons EXCEPT {Ans: a producer's retirement}how much is agent's appointment fee? {Ans: $5}Which is generally true regarding insureds who have been classified as preferred risks? a)They keep a higher percentage of any interest earned on their policies. b)Their premiums are lower. c)They can borrow higher amounts off of their policies. d)They can decide when to pay their monthly premiums. {Ans: b) Their premiums are lower. The preferred risk classification indicates that an insured is in excellent physical condition and employs healthy lifestyles and habits. These individuals qualify for lower premiums than those in the other categories.}graded-premium whole life policy premiums are typically lower initially, but gradually increase for a period of 5 to 10 years. After the period of increase the premiums will {Ans: be level thereafter}if an insured changes his payment plan from monthly to annually, what happens to the total premium? {Ans: decreases}A policy owner who is also the insured wants to name her husband as the beneficiary of her life policy. She also wishes to retain all of the rights of ownership. The policy owner should have her