Built the way the exam is built: 19 general questions and 6 on Texas law, the same 100-to-30 split as the real thing. Scenario questions, not definitions. Tap an option, read why the others are wrong, keep going. Your score and weak sections appear after question 25.
Do it timed if you can: 60 seconds a question is the exam's pace (150 minutes for 145). The real exam has 145 questions; the outline and weights ›
Two applicants purchase $250,000 ordinary whole life policies from the same insurer on the same day. One is age 30; the other is age 50. Which statement is CORRECT?
Whole life premiums are level for life and based on age at issue; an older applicant has fewer years to fund the same reserve and higher mortality, so the 50-year-old pays more, and both pay until death or maturity.
A 40-year-old wants permanent life insurance but does not want to be paying premiums after he retires at age 65. Which policy best meets his objective?
Life paid-up at 65 is a limited-payment whole life policy: premiums stop at 65, but the coverage and cash value continue for life.
A universal life policyowner loses her job and stops paying premiums for eight months. The policy has $6,000 of cash value. What happens to the coverage?
In universal life, premiums are not required on a fixed schedule; each month the insurer deducts the cost of insurance and expense charges from the cash value. As long as the $6,000 is sufficient, coverage continues.
Marta owns a universal life policy with a waiver of monthly deduction rider. She becomes totally disabled and satisfies the rider's waiting period. Which of the following best describes what the rider will do?
A waiver of monthly deduction rider on a universal life policy covers only the monthly deductions (cost of insurance and expense charges) taken from the cash value during total disability.
In addition to the scheduled option dates, many guaranteed insurability riders allow an option to be exercised early upon which of the following events?
Guaranteed insurability riders commonly allow an alternate option date on a life event that increases the need for insurance, such as marriage, the birth or adoption of a child, or sometimes buying a home.
A mother buys a $50,000 whole life policy on her 6-year-old son and adds a payor benefit rider. When the son is 12, the mother dies. What happens to the policy?
The payor benefit rider waives premiums on a juvenile policy if the payor dies or becomes totally disabled, and the waiver continues until the child reaches the age stated in the rider (commonly 21 or 25).
While completing an application, an agent realizes the applicant wrote the wrong birth year. What is the proper way to correct the error?
Corrections must be made by striking the error, entering the correct information, and having the applicant initial it; the application becomes part of the entire contract, so any alteration must be authenticated by the applicant.
A father applies for a whole life policy on the life of his 14-year-old daughter, naming himself as owner. Whose signatures are generally required on the application?
When the proposed insured is a minor, the parent or guardian applies as owner and signs the application; the minor is not a competent party and generally is not required to sign. The agent always signs as witness.
An employee covered under a group term life plan leaves her employer. Which of the following is TRUE regarding her conversion privilege?
The conversion privilege lets a departing group member convert to an *individual permanent (whole life)* policy without evidence of insurability, typically within 31 days of termination; group coverage generally continues during that 31-day window.
A self-employed dentist wants a policy that will pay her office rent, staff salaries, and utilities if she becomes disabled. Which policy is designed for this purpose?
Business overhead expense (BOE) reimburses the *business's* fixed operating expenses (rent, utilities, employee salaries, etc.) while the owner is disabled. It does not replace the owner's own income; premiums are tax-deductible and benefits are taxable.
A self-employed carpenter is applying for an individual disability income policy and wants to lower the premium without reducing the monthly benefit amount. Which change to the policy would accomplish this?
The elimination period is a time deductible: the longer the insured waits before benefits begin, the fewer claims the insurer pays and the lower the premium, so lengthening it reduces cost without touching the benefit amount.
Compared with an individual disability income policy, a disability buyout policy typically has a much longer elimination period, often one to two years. The reason is to
A disability buyout forces the sale of the owner's interest, an irreversible step, so the long elimination period (typically 12 to 24 months) confirms the disability is likely permanent before the purchase is funded.
All of the following statements about the entire contract provision in an individual health policy are correct EXCEPT
Under the entire contract provision an agent has no authority to change the policy or to waive any of its provisions, whether orally or in writing, so this statement is false.
How does the time limit on certain defenses provision in an individual health policy differ from the incontestability clause found in most life insurance policies?
The time limit on certain defenses provision bars policy rescission or claim denial for misstatements after a stated period, but carves out fraudulent misstatements, still contestable; a life incontestability clause generally bars all contests after two years, even fraud.
All of the following statements about the physical examination and autopsy provision are correct EXCEPT
The physical examination and autopsy provision gives the insurer the right to examine the insured only while a claim under the policy is pending; it is not a general right to periodic examinations, so this statement is false.
A 58-year-old worker was approved for Social Security disability benefits and received her first monthly benefit for March 2024. Assuming she remains disabled, when will she become eligible for Medicare?
A person under 65 receiving Social Security disability benefits gets Medicare automatically after 24 months of disability benefits, so entitlement begins with the 25th month, March 2026.
Which statement best describes the partial disability benefit typically written into a disability income policy?
A partial disability benefit is a flat, scheduled amount — commonly half the total disability benefit — payable for a limited time, usually following a period of total disability.
An insurer underwriting an individual disability income application asks the applicant, a self-employed architect, for copies of her recent federal income tax returns. The insurer's main purpose is to
Disability income underwriting includes financial underwriting: because a benefit close to or above take-home pay removes the incentive to return to work, insurers limit the benefit to a percentage of earned income and document it with tax returns.
Who bears the expense of a departmental examination of a domestic life insurance company?
TIC Sec. 401.151(a) requires a domestic insurer examined for this state to pay the expenses of the examination in an amount the commissioner certifies just and reasonable; subsection (b) directs the department to collect an assessment at examination time.
At a hearing on charges of an unfair or deceptive act under Chapter 541, the person charged is entitled to
TIC Sec. 541.103 entitles a person charged under Sec. 541.102 to an opportunity to be heard and to show cause why the department should not order the person to cease and desist from the act described in the charges.
A health insurer that violated the unfair claim settlement practices provisions of Chapter 542 has been issued a cease and desist order and continues the practice. Under the Insurance Code, the department may
Under TIC Sec. 542.010(b), if the insurer violates a cease-and-desist order for unfair claim settlement practices, the department may revoke or suspend its certificate of authority or limit, regulate and control its business lines, policy forms, and their volume.
A Texas agent prepares a direct-mail piece that names her appointed insurer and describes one of that insurer's whole life policies. Before she may use the piece, Texas advertising rules require the agent to
Before using an advertisement that names an insurer or its policy, an agent must file it with the home office of the insurer for written approval; the insurer maintains the system of control.
Besides a spouse and an unmarried child younger than 26, which of the following is a dependent under the Texas Employees Group Benefits Act?
TIC §1551.004 lists among dependents an unmarried child of any age on the child's continuation coverage under the Consolidated Omnibus Budget Reconciliation Act of 1985 ending.
Which of the following provisions may a Medicare supplement policy delivered in Texas contain?
28 TAC §3.3308(a)(1) contemplates that the renewal provision on the first page will include any reservation by the issuer of the right to change premiums; guaranteed renewability protects the coverage, not the rate.
An organization holds a Texas certificate of authority to arrange only prepaid dental care for its enrollees and provides no other type of health care service. Under the Texas HMO Act, this arrangement is a
Tex. Ins. Code §843.002 defines a single health care service plan as a plan to provide or arrange for a single health care service on a prepaid basis; prepaid dental-only coverage fits.
A 25-question sample moves a lot with luck. The in-app check-up weights each section like the exam and projects a score on the 130 scale; the daily plan then returns the questions you missed in two days, and again in five.
Get a projected score freeG-I to G-IX are the general Life and Health sections (100 scored questions). TX-I to TX-IV are the Texas state law sections (30 scored). The six Texas questions here match that share. People lose the exam on Texas law more than anywhere else, and most free practice tests barely cover it. Ten more Texas-law questions ›
It uses the same format: four-option scenario questions written to the Pearson VUE outline (publication 124401), in roughly the same proportions, with about a quarter on Texas law. The real exam has 145 questions (130 scored) in 150 minutes; this is a 25-question sample, so treat the score as a direction, not a verdict.
The pass mark is a scaled score of 70, not 70% correct. Pearson VUE adjusts for the difficulty of the form you get, so the raw number varies. On practice material, 80% on questions you have never seen is the margin that makes a pass likely.
No. Pearson VUE questions are confidential, and anyone selling "actual exam questions" is selling something else. These are original questions written to the published outline, which is what the exam itself is written to.
Because the explanation of the wrong options is where the learning is. The exam does not test whether you recognise a term; it tests whether you can choose between four options that all sound plausible. Knowing why three are wrong is the skill.
Want the full bank? The app has hundreds of scenario questions across every outline section, a 15-question check-up that projects your score, and a day-by-day plan to your exam date. Free during the beta, no sign-in.
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