support@Free-Braindumps.com
Register Login
Cisco
CompTIA
ISC
EC-Council
EXIN
Fortinet
ITIL
Juniper
Microsoft
VMware
Avaya
SAP
Google
NVIDIA
Salesforce
Amazon
Palo Alto Networks
ISC2
CrowdStrike
Anthropic
All Vendors
  1. Home
  2. Exams
  3. Virginia Insurance
  4. Virginia-Life-Annuities-and-Health-Insurance

Free Virginia-Life-Annuities-and-Health-Insurance Exam Braindumps
Virginia Life, Annuities, and Health Insuranceination Series 1101 Questions 91–95 (page: 20)

Updated On: 10-Feb-2026
Page 20 of 89
PDF with 440 Questions

All of the following are elements of an insurable risk EXCEPT:

  1. Speculative risk
  2. Accidental loss
  3. A large number of similar units
  4. An ability to measure the loss

Answer(s): A

Explanation:

Detailed Answer in Step-by-Step Solution:
Insurable risks require accidental loss (B), a large number of similar exposure units (C), and measurable loss (D) to allow statistical predictability and premium calculation. Speculative risk (A), like gambling or business ventures, involves potential gain or loss and is not insurable, as insurance covers only pure risk (loss only).

The Virginia study guide distinguishes pure risk (insurable) from speculative risk (uninsurable), listing accidental, measurable, and widespread exposure as key criteria.


Reference:

Virginia Life, Annuities, and Health Insurance study guide, section on "Risk and Insurance."



Which is true about ownership of a deferred annuity contract?

  1. All of the participants in a group contract are part-owners
  2. Ownership rights are neither transferable nor assignable
  3. An owner may be the annuitant or the beneficiary or neither
  4. An owner's rights take effect when the benefit payment phase begins

Answer(s): C

Explanation:

Detailed Answer in Step-by-Step Solution:
In a deferred annuity, the owner (who purchases the contract) can be the annuitant (who receives payments), the beneficiary (who receives proceeds), or a third party (C). Option A (group contract) applies to group annuities, not individual ownership. Option B (non-transferable) is false; ownership can often be assigned. Option D (rights at payment phase) is incorrect; owners have rights during accumulation.

The Virginia study guide notes that deferred annuity ownership is flexible, allowing the owner to differ from the annuitant or beneficiary, with rights exercisable before payout.


Reference:

Virginia Life, Annuities, and Health Insurance study guide, section on "Annuities."



Responsibilities of the life insurance agent in the process of underwriting include all of the following EXCEPT:

  1. Gathering complete information for the application
  2. Determining the final rate classification
  3. Seeking any additional information requested by the insurer
  4. Notifying the insurer of any material information not in the application

Answer(s): B

Explanation:

Detailed Answer in Step-by-Step Solution:
Agents assist underwriting by collecting application data (A), obtaining additional info (C), and reporting material facts (D), but determining the final rate classification (B) is the insurer's underwriter's role, not the agent's.

Rate classification involves risk assessment, which is beyond an agent's authority.

The Virginia study guide specifies that agents facilitate underwriting by providing accurate information, while the insurer's underwriters set rates based on that data.


Reference:

Virginia Life, Annuities, and Health Insurance study guide, section on "Underwriting Process."



The reinstatement provision in individual health insurance:

  1. Reinstates the amount of insurance after payment of a loss
  2. Allows the insured to reinstate the policy after coverage lapses for nonpayment of premium
  3. Allows the insured to change statements made in the application
  4. Requires that all reinstatement applications must be approved by the Bureau of Insurance

Answer(s): B

Explanation:

Detailed Answer in Step-by-Step Solution:
The reinstatement provision in health insurance allows a policy that lapsed due to nonpayment of premiums to be restored (B), typically within a set period (e.g., 3 years), if the insured pays back premiums and meets conditions like proving insurability. Option A (reinstates amount after loss) relates to property insurance, not health. Option C (change application statements) is unrelated to reinstatement. Option D (Bureau approval) is false; reinstatement is handled by the insurer, not a regulatory body.

The Virginia study guide explains that the reinstatement provision protects policyholders by allowing revival of a lapsed health policy upon payment of overdue premiums and, if required, evidence of insurability.


Reference:

Virginia Life, Annuities, and Health Insurance study guide, section on "Health Insurance Policy Provisions."



An individual purchased an annuity with a series of premium payments continuing over a period of twenty years. The purchase payments were made during the:

  1. Liquidation period
  2. Annuity period
  3. Period certain
  4. Accumulation period

Answer(s): D

Explanation:

Detailed Answer in Step-by-Step Solution:
The accumulation period (D) is the phase in a deferred annuity where premiums are paid to build value before payouts begin.
The liquidation period (A) is not a standard term here; it might imply payout but isn't correct. The annuity period (B) is when payments are received, not paid. Period certain (C) refers to a payout option, not premium payment phase.

The Virginia study guide defines the accumulation period as the time during which premium payments are made into a deferred annuity, accumulating value until the payout phase.


Reference:

Virginia Life, Annuities, and Health Insurance study guide, section on "Annuities."



  PDF
Viewing page 20 of 89
Viewing questions 96 - 100 out of 440 questions


Post your Comments and Discuss Virginia Insurance Virginia-Life-Annuities-and-Health-Insurance exam prep with other Community members:

AI Tutor AI Tutor 👋 I’m here to help!