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Free New Jersey Life Producer Exam Practice Questions

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Exam style questions across every NJ-Life-Producer domain

Last Update 4 days ago
Total Questions : 93

Start with our free NJ-Life-Producer practice questions, carefully crafted to mirror the domains, phrasing, and difficulty of the real New Jersey Insurance Licencing (NJDOBI) exam. Each NJ-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 Insurance Licensing weak domains, see where you're losing marks, and build a focused study plan in minutes.

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Question # 11

In order to receive fees other than commissions from a life insurance prospect, an insurance producer acting as a consultant must first

Options:

A.  

Present a Notice Regarding Replacement of Life Insurance form to the prospect.

B.  

Present a Comparative Information form to the prospect.

C.  

Obtain a signed written memorandum from the prospect stating the amount of compensation.

D.  

Obtain a written commitment from the prospect to purchase new life insurance.

Discussion 0
Question # 12

An immediate annuity is designed to make its first benefit payment to the annuitant typically

Options:

A.  

When the accumulation period, of at least 24 months, ends.

B.  

In the form of a lump sum payment.

C.  

Only after all cash surrender values, with interest, have been calculated.

D.  

One month from the annuity’s purchase date.

Discussion 0
Question # 13

Insurance purchased on the life of a borrower to provide indemnity for a loan balance if the borrower dies is referred to as

Options:

A.  

Bank insurance.

B.  

Credit life insurance.

C.  

Ticket life insurance.

D.  

Liability indemnity insurance.

Discussion 0
Question # 14

In New Jersey, an individual must be at least how many years of age to qualify for a producer’s license?

Options:

A.  

Sixteen.

B.  

Eighteen.

C.  

Nineteen.

D.  

Twenty-one.

Discussion 0
Question # 15

Which of the following dividend options is taxable?

Options:

A.  

Paid-up additions.

B.  

One-year term.

C.  

Accumulation at interest.

D.  

Return of premium.

Discussion 0
Question # 16

Which of the following retirement plans is not restricted to contribution limits set by the IRS?

Options:

A.  

Roth IR

A.  

B.  

Individual annuity.

C.  

401(k).

D.  

Individual Retirement Plan.

Discussion 0
Question # 17

The settlement option that allows proceeds to remain with the insurer and the earnings to be paid to the beneficiary on a monthly basis is called

Options:

A.  

Interest only.

B.  

Lump sum.

C.  

Fixed period.

D.  

Fixed amount.

Discussion 0
Question # 18

Which type of insurance policy is characterized by premiums that are fully paid up within a stated period, after which no further premiums are required?

Options:

A.  

Lump sum insurance.

B.  

Basic installment insurance.

C.  

Prepaid premium insurance.

D.  

Limited payment life insurance.

Discussion 0
Question # 19

A Policy Summary must include all of the following information EXCEPT the

Options:

A.  

Effective policy loan annual percentage interest rate, where applicable.

B.  

Generic names of the basic policy and each rider.

C.  

Full name and home office address of the insurance company writing the policy.

D.  

Dividend history of the insurance company writing the policy.

Discussion 0
Question # 20

What must a company do prior to conducting an HIV-related test?

Options:

A.  

Obtain a written authorization from the proposed insured.

B.  

Provide notification to the beneficiary.

C.  

Notify the Department of Health.

D.  

Notify the applicant’s designated doctor.

Discussion 0

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