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Insurance Licensing NJ-Life-Producer Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Types of Life Insurance Policies | 20-25% | - Combination Plans & Policy Variations - Annuities & Retirement Products - Term Life Insurance - Traditional Whole Life Products - Interest-Sensitive & Universal Life Products |
| New Jersey Insurance Laws, Rules & Regulations | 20-25% | - State Regulatory Framework & Jurisdiction - Ethics, Fiduciary Duty & Consumer Protection - Trade Practices & Unfair Trade Laws - Policy Replacement & Disclosure Rules - Licensing Requirements & Procedures |
| Taxes, Retirement & Advanced Concepts | 15-20% | - Business Insurance & Third-Party Ownership - Group Life Insurance - Retirement Plans & Tax Treatment - Social Security & Government Benefits |
| Application, Underwriting & Policy Delivery | 10-15% | - Do Not Call & Privacy Regulations - Policy Delivery & Legal Responsibilities - Completing the Application & Disclosure Requirements - Underwriting Process & Risk Classification |
| Policy Riders, Provisions, Options & Exclusions | 20-25% | - Required & Optional Policy Provisions - Policy Exclusions & Limitations - Common Policy Riders - Beneficiary Designations & Settlement Options |
Insurance Licensing New Jersey Life Producer Sample Questions:
1. An insurer who is placed under an order of liquidation by a court of competent jurisdiction is defined under the terms of the New Jersey Life and Health Insurance Guaranty Association Act as
A) A bankrupt insurer.
B) An incompetent insurer.
C) An insolvent insurer.
D) An impaired insurer.
2. An individual must be a licensed producer in order to take which of the following actions?
A) Discuss the effects of age or health on premiums with a prospective insured.
B) Type binders or certificates.
C) Compile the names and addresses of prospective insureds for marketing purposes.
D) Accept premiums from insureds at a recorded place of business.
3. Which of the following statements is true regarding a Waiver of Premium Rider?
A) The insured will automatically become eligible for Accelerated Death Benefits.
B) There will be no change in the policy's rates, benefits, or options other than that the insured no longer has to pay the premiums on the policy.
C) The policy's cash value will continue to grow, but at a slower rate because the insured is no longer paying premiums.
D) The death benefit will be reduced by the amount of the unpaid premiums.
4. The applicant must face the possibility of losing something of value in the event of the insured's death. This principle is known as
A) Indemnification.
B) Insurable interest.
C) Viatical settlement.
D) Adverse selection.
5. Generally, if an application is not prepaid, the effective date of coverage begins on the date the
A) Application is postmarked and mailed to the insurer.
B) Company underwriter approves the risk.
C) Application is signed.
D) Producer delivers the policy and collects a premium.
Solutions:
| Question # 1 Answer: C | Question # 2 Answer: A | Question # 3 Answer: B | Question # 4 Answer: B | Question # 5 Answer: D |
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