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  2. Iowa
  3. Life, Accident & Health
  4. Life Policy Provisions Options and Riders

Free Life Policy Provisions Options and Riders Practice Questions

Iowa Life, Accident & Health exam — 52 practice questions.

Subtopics: Automatic premium loan, Interest-only option, Fixed-period option, Life income option, Collateral assignment, Conversion privilege, Accelerated death benefit, Spendthrift clause, Common disaster, Payor benefit, Return of premium rider, Ownership provision, Standard provisions, Assignment, Beneficiaries, Beneficiary clauses, Settlement options, Nonforfeiture options, Policy loans, Dividend options, Riders, Grace period, Reinstatement, Incontestable clause, Suicide clause, Misstatement of age, Primary beneficiary, Irrevocable beneficiary, Minor beneficiary, Per capita, Estate as beneficiary, Dividend option cash, Dividend option reduce premium, Dividend option accumulate at interest, Dividend option one-year term, Joint and survivor settlement, Guaranteed insurability rider, Cost of living rider, Payor benefit rider, Child term rider

Read the Life Policy Provisions Options and Riders study guide

Sample questions & answers

1. A provision that automatically uses a whole life policy's cash value to pay an overdue premium and prevent a lapse is the:

Automatic premium loan

The automatic premium loan provision draws on the cash value to pay a premium that would otherwise lapse the policy.

2. A life insurance settlement option under which the insurer holds the proceeds and pays only the earnings to the beneficiary is the:

Interest-only option

Under the interest-only option, the insurer retains the proceeds and pays the interest earned to the beneficiary.

3. The settlement option that pays the death proceeds in equal installments over a stated number of years until the funds and interest are exhausted is the:

Fixed-period option

The fixed-period option pays proceeds plus interest in equal installments over a chosen number of years.

4. The settlement option that guarantees income to a beneficiary for as long as that beneficiary lives is the:

Life income option

The life income option pays the beneficiary an income that continues for the rest of the beneficiary's life.

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Practice: Life Policy Provisions Options and Riders

Take a randomized, timed-style practice test. Answer choices are shuffled and your results are scored instantly with an explanation for every question.

Practice questions are study aids generated for exam preparation and are not actual exam questions. Content is provided for educational purposes and is not legal advice. Verify current statutes, rules, and exam specifications with the Insurance Department and the exam administrator before relying on it.