Questões de Policy Riders, Provisions, Options, and Exclusions

1. TDI-PEARSONVUE — 2026

James surrenders his whole life policy for its cash value. He has an outstanding policy loan of $5,000 and the cash value is $12,000. How much will he receive?

1. A)$12,000
2. B)$7,000
3. C)$5,000
4. D)$17,000

Gabarito: B

Upon surrender, outstanding policy loans and any accrued interest are deducted from the cash value. James receives $12,000 minus $5,000 equals $7,000.

2. TDI-PEARSONVUE — 2026

A policyowner uses the reduced paid-up insurance nonforfeiture option. The new policy will:

1. A)Have the same face amount as the original policy with no further premiums required
2. B)Have a lower face amount than the original policy with no further premiums required
3. C)Maintain the original face amount for a limited period
4. D)Require annual proof of insurability

Gabarito: B

Reduced paid-up uses cash value to purchase a smaller amount of permanent insurance of the same type, fully paid with no future premiums. Extended term maintains the original face amount but only for a limited period. Proof of insurability is not required for nonforfeiture options.

3. TDI-PEARSONVUE — 2026

An insured with a waiver of premium rider becomes totally disabled at age 45. The insurance company waives premiums starting immediately. At what point must the insurer typically begin refunding premiums paid during the waiting period?

1. A)After 30 days of disability
2. B)After 90 days of disability
3. C)After 6 months of continuous disability
4. D)After 12 months of continuous disability

Gabarito: C

Most waiver of premium riders have a 6-month waiting period. Once the insured has been disabled continuously for 6 months, the insurer refunds premiums paid during that period and waives future premiums.

4. TDI-PEARSONVUE — 2026

Margaret has not designated a beneficiary on her life insurance policy. Upon her death, who typically receives the death benefit?

1. A)The state government
2. B)Her estate
3. C)Her closest living relative automatically
4. D)The insurance company

Gabarito: B

When no beneficiary is named or all named beneficiaries predecease the insured, the death benefit is paid to the insured's estate by default under the facility of payment provision.

5. TDI-PEARSONVUE — 2026

Under a guaranteed insurability rider, the insured typically must exercise the option to purchase additional coverage within how long after a qualifying event?

1. A)15 days
2. B)30 days
3. C)60 days
4. D)90 days

Gabarito: D

Industry standard guaranteed insurability riders typically allow 90 days from a qualifying event (marriage, birth of child, etc.) for the insured to exercise the purchase option.

6. TDI-PEARSONVUE — 2026

A primary beneficiary dies before the insured. No contingent beneficiary is named. To whom will the death benefit be paid?

1. A)The insurance company retains the proceeds
2. B)The state government
3. C)The insured's estate
4. D)The insured's creditors

Gabarito: C

When no living beneficiary is named, the death benefit is paid to the insured's estate and distributed according to the will or state intestacy laws.