1. Exam Prep
  2. West Virginia
  3. Life
  4. Annuities

Free Annuities Practice Questions

West Virginia Life exam — 55 practice questions.

Subtopics: Accumulation phase, Life only option, Annuitant, Fixed annuity, Variable annuity, Surrender charge, Suitability, Tax deferral, Indexed annuity, 1035 exchange, Purpose, Accumulation period, Immediate annuity, Deferred annuity, Variable annuity licensing, Equity indexed annuity, Pure life option, Life with period certain, Refund annuity, Joint and survivor, Annuity certain, Tax-deferred growth, Exclusion ratio, Retirement income use, Structured settlement, Owner rights, Early withdrawal penalty, Annuity vs life insurance, Single vs flexible premium annuity, Annuity surrender charge period, Bailout provision, Market value adjustment, Annuitization vs surrender, Annuity death benefit, Free withdrawal provision, Cash refund vs installment refund, Joint life annuity, Qualified annuity funding, Accumulation vs annuity units, Assumed interest rate, Guaranteed minimum income benefit, Guaranteed minimum withdrawal benefit, Qualified longevity annuity contract, Split-annuity concept, Annuity suitability standard, Nonqualified withdrawal taxation, Owner's death before annuitization, Two-tier annuity, Annuity guaranteed minimum value, Annuity exclusion ratio

Read the Annuities study guide

Sample questions & answers

1. During the accumulation phase of a deferred annuity, the contract:

Grows on a tax-deferred basis until payments begin

In the accumulation phase, contributions and earnings grow tax-deferred until the annuity is annuitized or withdrawn.

2. A straight life (life-only) annuity payout option pays the largest periodic income because it:

Pays for only five years

A life-only option pays the highest income because payments cease at the annuitant's death with nothing to beneficiaries.

3. In an annuity contract, the annuitant is the person:

Who regulates the insurer

The annuitant is the individual whose life is used to measure the annuity's income payments.

4. A fixed annuity provides the owner with:

A guaranteed minimum interest rate and fixed income payments

A fixed annuity guarantees a minimum interest rate during accumulation and fixed, predictable income payments.

All Life topics

Practice: Annuities

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.