Numerade

Questions asked

INSTANT ANSWER

What is the result for the indexed annuity contract owner of the insurer using a monthly averaging strategy? The change in the index closing levels will be higher than if a different strategy were used. The potentially wide swings in the index closing level are smoothed out The change in the index closing levels will be lower than if a different strategy were used. The participation rate is normally increased.

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Anand Jangid

Numerade educator

Bob's indexed annuity uses a point-to-point strategy and has a 75 percent participation rate but no cap rate. What interest rate would be used to credit interest on funds in his annuity the index closing level was 1000 at the beginning of the index term period and 1200 at the end of the period? 12 percent . 15 percent 20 percent . 25 percent

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Anand Jangid

Numerade educator

d. joint and survivor annuity 38. Megamutual issued a policy to its applicant other than as applied for and sent a revised conforming illustration along with the issued policy. When the policy is delivered and the illustration signed, to whom should the signed illustration be furnished? a. the insurer b. the department of insurance c. the beneficiary d. the general agent 39. Which of the following is a discrete and identifiable sum that may be moved to the index or fixed interest

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Nick Johnson

Numerade educator

Which of the following is a discrete and identifiable sum that may be moved to the index or fixed interest strategy? contribution window bspread bucket index

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Matthew Wagner

Numerade educator

d. a straight life payout 35. Jean wanted to avoid the risk that her retirement income might vary, so she purchased an immediate annuity providing fixed periodic payments for her lifetime. However, by doing so, which of the following risks did she assume? a. investment risk b. purchasing power risk c. credit risk d. call risk 36. Marvin wants to purchase a permanent life insurance policy that will give him the strongest guarantees

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Breanna Ollech

Numerade educator

Which of the following methods generally results in the most realistic determination of a life insurance need?

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Matthew Wagner

Numerade educator

Audrey wants to purchase an annuity in order to enjoy tax deferral. What should she do before purchasing an annuity solely for this purpose? aseek tax advice from her agent take advantage of any tax-favored retirement plans for which she is eligible . contact the state insurance department dincorporate

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Breanna Ollech

Numerade educator

Bob is interested in buying a life insurance policy whose cash value growth is based on the positive changes in an external index. However, he doesn't want to be exposed to investment risk. Which of the following would meet those objectives ?

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Breanna Ollech

Numerade educator

44. Federal law defines a terminally ill individual as one who has been certified by a physician as having an illness or physical condition that can reasonably be expected to result in death within how many months following certification? a. 6 b. 10 c. 24 d. 36

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Breanna Ollech

Numerade educator

43. Bruce is terminally ill and has been certified as having a life expectancy of 24 months. He received $100,000 in accelerated death benefits under a policy for which he paid $10,000 in aggregate premiums. How much, if any, of the accelerated death benefit must he include in his income? a. $100,000 b. $10,000 c. $90,000 d. $0 44. Federal law defines a terminally ill individual as one who has been certified by a physician as having an

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Neema M.