Free Virginia-Life-Annuities-and-Health-Insurance Exam braindumps download (Virginia-Life-Annuities-and-Health-Insurance exam dumps Free)

QUESTION: 96

After an insured's death, the insurer learned that the age on the application for a whole life insurance policy was understated by five years. The rate per $1,000 for the applicant's actual age was $18, and the rate for the understated age was $15. How much will the insurer pay?

15/18 of the policy face amount
95% of the policy face amount
The policy face amount
Nothing at all

Answer(s): A

Explanation:

Detailed Answer in Step-by-Step Solution:
When age is misstated, the insurer adjusts the death benefit based on the premium paid versus what should have been paid.
Premium paid: $15 per $1,000 (understated age). Correct premium: $18 per $1,000 (actual age). Ratio: $15/$18 = 5/6 of the intended coverage. Thus, the benefit is 15/18 of the face amount (A). Option B (95%) is arbitrary. Option C (full amount) ignores the misstatement. Option D (nothing) applies only in fraud cases beyond the incontestability period, not specified here.

The Virginia study guide states that under the misstatement of age provision, the benefit is adjusted proportionally to the premium paid versus the correct premium, not denied entirely.

Reference:

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

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QUESTION: 97

An insured with a long-term care (LTC) policy knowingly and intentionally misrepresented relevant facts relating to the insured's health. How long does an insurer have to contest the coverage?

Any time up to six months
Any time up to two years
Any time during the duration of the policy
The insurer is prohibited from contesting the coverage

Answer(s): B

Explanation:

Detailed Answer in Step-by-Step Solution:
The incontestability provision in LTC policies typically limits the insurer's ability to contest coverage based on misrepresentations to two years (B) from issuance, unless fraud is proven (which may extend this in some states).
Option A (six months) is too short. Option C (entire duration) applies only to fraud in some cases, not standard misrepresentations. Option D (prohibited) is incorrect due to the contestable period.

The Virginia study guide, aligned with NAIC standards, notes a two-year contestable period for health-related policies like LTC, after which misrepresentations cannot be challenged absent fraud.

Reference:

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

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QUESTION: 98

An IRA owner names the spouse as beneficiary.
Which is true if the owner dies before any distributions are made?

All future distributions are forfeited
The surviving spouse can roll the account into another IRA
Distributions must begin within six months of the decedent's death
Distributions must begin in the year after the deceased would have reached age 70½

Answer(s): B

Explanation:

Detailed Answer in Step-by-Step Solution:
If an IRA owner dies before distributions, the surviving spouse beneficiary can roll the IRA into their own IRA (B), treating it as their own and delaying distributions until their required beginning date. Option A (forfeited) is false; assets pass to the beneficiary. Options C and D apply to non-spouse beneficiaries under older rules, not spousal rollovers.

The Virginia study guide, per IRS rules, allows a surviving spouse to roll an inherited IRA into their own, avoiding immediate taxation or forced distributions.

Reference:

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

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QUESTION: 99

For an AD&D policy with an irrevocable beneficiary designation, a change in the beneficiary can ONLY be made:

At the time of policy renewal
When an absolute assignment is attached to the policy
Upon the death of the current beneficiary
With the consent of both the policyowner and the beneficiary

Answer(s): C

Explanation:

Detailed Answer in Step-by-Step Solution:
An irrevocable beneficiary has a vested interest, and the policyowner cannot change the designation without their consent unless the beneficiary dies (C), at which point the owner regains control. Option A (renewal) and B (assignment) don't override irrevocability. Option D (consent) is true for living beneficiaries, but "ONLY" restricts it to death in this context.

The Virginia study guide notes that an irrevocable beneficiary's rights persist until death, after which the policyowner can freely change the designation.

Reference:

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

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QUESTION: 100

Under an absolute assignment, a life insurance policyowner transfers:

Limited policy rights to another party
The requirement to pay premiums to a third party
All policy ownership rights to a new owner
Ownership rights as collateral for a loan

Answer(s): C

Explanation:

Detailed Answer in Step-by-Step Solution:
An absolute assignment transfers all ownership rights (C) of a life insurance policy to a new owner, relinquishing the original owner's control.
Option A (limited rights) is a partial assignment. Option B (premium payment) is not ownership. Option D (collateral) is a collateral assignment, not absolute.

The Virginia study guide defines absolute assignment as the complete transfer of all policy rights to a new owner, distinct from collateral assignments for loans.

Reference:

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

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Free Virginia-Life-Annuities-and-Health-Insurance Exam Braindumps Virginia Life, Annuities, and Health Insuranceination Series 1101 Questions 96–100 (page: 21)

QUESTION: 96

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QUESTION: 97

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QUESTION: 98

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QUESTION: 99

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QUESTION: 100

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Free Virginia-Life-Annuities-and-Health-Insurance Exam Braindumps
Virginia Life, Annuities, and Health Insuranceination Series 1101 Questions 96–100 (page: 21)