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Free Maryland Life Producer Exam (Series 20-27) Practice Questions

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Exam style questions across every Life-Producer domain

Last Update 1 day ago
Total Questions : 90

Start with our free Life-Producer practice questions, carefully crafted to mirror the domains, phrasing, and difficulty of the real Maryland Insurance exam. Each Life-Producer exam question comes with a detailed rationale that explains not just which answer is correct but why the others fall short. That's how concepts stick. Use the free set to benchmark yourself: identify your Maryland Insurance Administration weak domains, see where you're losing marks, and build a focused study plan in minutes.

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Question # 21

The Maryland Insurance Administration may suspend an agent’s license for all of the following reasons EXCEPT:

Options:

A.  

Engaging in fraudulent or dishonest practices

B.  

Mishandling premium payments

C.  

Sharing commissions with agents holding the same license type

D.  

Violating a regulation or order of the Maryland Insurance Administration

Discussion 0
Question # 22

In the event of a death claim under a life insurance policy, what happens to the amount of any existing policy loan?

Options:

A.  

It is deducted from the face amount of the policy together with any interest due.

B.  

The beneficiary has an obligation to pay the amount to the insurance company.

C.  

It represents a primary claim against the estate of the insured.

D.  

It is canceled, and the beneficiary receives the face amount of the policy.

Discussion 0
Question # 23

Publishing a derogatory article about the financial condition of an insurer that is false and calculated to injure the insurer is an example of:

Options:

A.  

Defamation

B.  

Intimidation

C.  

Extortion

D.  

Coercion

Discussion 0
Question # 24

A policyholder uses a Section 1035 exchange to replace an existing life insurance policy. If the new policy is later surrendered, the gain realized on termination is taxed as:

Options:

A.  

Ordinary income

B.  

A capital gain

C.  

Ordinary income plus a 10% surcharge

D.  

A deferred capital gain

Discussion 0
Question # 25

An insurance agent's license may be revoked for all of the following reasons EXCEPT:

Options:

A.  

Having no insurer appointment in effect for ten days

B.  

Having been found guilty of rebating

C.  

Being convicted of a felony

D.  

Violating any insurance statute or regulation

Discussion 0
Question # 26

Publishing a derogatory article about the financial condition of an insurer that is false and calculated to injure the insurer is an example of:

Options:

A.  

Defamation

B.  

Intimidation

C.  

Extortion

D.  

Coercion

Discussion 0
Question # 27

Which amount may be deposited into a rollover individual retirement account (IRA) for the purpose of deferring income taxes?

Options:

A.  

The proceeds of a life insurance policy paid to a beneficiary under age 70-1/2

B.  

The refund received by the beneficiary under a refund life annuity

C.  

The amount paid to the spouse of a deceased annuitant under a tax-sheltered annuity

D.  

The value of an IRA established by the beneficiary’s deceased parent

Discussion 0

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