The type of policy where 80% to 90% of the premium is invested in traditional fixed income securities and the remainder of the premium is invested in contracts tied to a stipulated stock index is

• A. variable life.
• B. whole life.
• C. equity index whole life.
• D. universal life.

What is the primary reason a business should purchase key person insurance?

• A. Reward an executive
• B. Reduce taxable income
• C. Offset financial losses
• D. Insure all employees

When an immediate annuity is funded with a single premium, the annuitant may begin receiving payment after

• A. 18 months.
• B. 1 month.
• C. 24 months.
• D. 15 months.

An employee is covered by a group life insurance policy offered by their employer at no cost to the employee.
Which life insurance option is available to this employee from the group policy insurer if their employment is terminated?

• A. Obtain individual insurance with the same terms as the group policy at the individual premium charged for an insured of the employee ' s age.
• B. Obtain individual insurance after 30 days with a discounted premium and a prorated reduced benefit.
• C. Retain the group insurance at the employee ' s expense for 60 days, then become eligible for individual insurance at terms to be negotiated based on health.
• D. Receive individual coverage with the same benefit as the group policy, provided they meet health standards specified for a physical examination.

The change of beneficiary provision states the policyowner has the right to change the beneficiary unless the beneficiary is

• A. contingent.
• B. deceased.
• C. uninsurable.
• D. irrevocable.