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Insurance Licensing Hawaii-Life-Producer Exam Syllabus Topics:

SectionObjectives
Topic 1: Life - General Knowledge- Retirement and Other Insurance Concepts
  • 1. Tax treatment of insurance premiums, proceeds, and dividends
    • Individual life
    • Group life
    • Modified Endowment Contracts
  • 2. Life insurance needs analysis and suitability
    • Personal insurance needs
    • Business insurance needs
  • 3. Third-party ownership
    • 4. Social Security benefits
      • 5. Life settlements
        • 6. Group life insurance
          • Conversion privilege
          • Contributory vs. noncontributory
        • 7. Retirement plans
          • Qualified plans
          • Nonqualified plans
        - Types of Policies
        • 1. Interest/market-sensitive/adjustable life products
          • Universal life
          • Variable whole life
          • Variable universal life
          • Interest-sensitive whole life
          • Indexed life
        • 2. Term life
          • Types
          • Special features
        • 3. Combination plans and variations
          • Joint life (first to die)
          • Survivorship life (second to die)
        • 4. Annuities
          • Single and flexible premium
          • Immediate and deferred
          • Fixed and variable
          • Indexed
          • Accumulation and annuity periods
          • Payout options
        • 5. Traditional whole life products
          • Ordinary whole life
          • Limited-pay and single-premium life
        - Life Provisions, Riders, Options, and Exclusions
        • 1. Policy provisions and options
          • Entire contract
          • Insuring clause
          • Free look
          • Consideration
          • Owner's rights
          • Beneficiary designations
          • Premium payment
          • Reinstatement
          • Policy loans, withdrawals, partial surrenders
          • Non-forfeiture options
          • Dividends and dividend options
          • Incontestability
          • Assignments
          • Suicide
          • Misstatement of age and gender
          • Settlement options
          • Accelerated death benefits
        • 2. Policy riders
          • Waiver of premium and waiver of monthly deduction
          • Guaranteed insurability
          • Payor benefit
          • Accidental death and/or accidental death and dismemberment
          • Term riders
          • Other insureds
          • Long term care
          • Return of premium
          • Disability
          • Cost of Living
        • 3. Policy exclusions
          • War
          • Aviation
          • Dangerous occupation
        - Completing the Application, Underwriting, and Delivering the Policies
        • 1. Underwriting
          • Insurable interest
          • Medical information and consumer reports
          • Fair Credit Reporting Act
          • Risk classification
          • Stranger/Investor-owned life insurance
        • 2. Completing the application
          • Required signatures
          • Changes in the application
          • Consequences of incomplete applications
          • Warranties and representations
          • Collecting the initial premium and issuing the receipt
          • Replacement
          • Disclosures at point of sale
          • USA PATRIOT Act and anti-money laundering
          • Gramm-Leach-Bliley Act privacy
        • 3. Delivering the policy
          • When coverage begins
          • Explaining the policy and its provisions, riders, exclusions, and ratings to the client
        • 4. Contract law
          • Elements of a contract
          • Unique aspects of the insurance contract
        Topic 2: Life - Hawaii Specific- Hawaii Laws and Rules Pertinent to Life Insurance Only
        • 1. Variable Contracts
          • 2. Marketing methods and practices
            • Replacement
            • Annuities
          • 3. Policy Clauses and Provisions
            • Protection of beneficiaries from creditors
            • Policy loan interest rate
            • Spouse's rights
          • 4. Group Life
            • Group requirements
            • Assignment of proceeds
            • Conversion
          • 5. Credit Life
            • 6. Participation in Surplus
              - Hawaii Laws and Rules Common to Life, Accident and Health, Property, Casualty and Personal Lines Insurance
              • 1. Insurance Commissioner
                • General powers and duties
                • Examination of records
                • Notice of hearings
                • Penalties
              • 2. Licensing
                • General qualifications for licensing
                • Persons required to be licensed
                • Denial, suspension, and revocation of licenses
                • Renewal of license and continuing education
              • 3. Definitions
                • Authorized and unauthorized
                • Domestic, foreign, and alien
                • Stock, reciprocal and mutual
                • Certificate of authority
                • Insurance
              • 4. Guaranty Associations
                • 5. Marketing practices
                  • Unfair and deceptive practices
                  • Reporting and accounting for premiums
                  • Sharing commissions
                  • Required records and record retention
                  • Controlled business
                  • Premiums

                Insurance Licensing Hawaii Life Producer Exam (InsHI_Life01 OPLife01) Sample Questions:

                Question 1

                Under Social Security, which of the following determines the amount of a worker's Disability Income benefit?

                A. State of residence average monthly wage
                B. Primary Insurance Amount (PIA)
                C. Minimum taxable wage base
                D. National average monthly wage


                Question 2

                Producers may engage in all of the following activities EXCEPT:

                A. countersigning contracts
                B. selling insurance
                C. negotiating insurance
                D. soliciting insurance applications for insurance


                Question 3

                Which of the following life insurance policies provides a 25-year-old with the most rapid growth of cash value?

                A. 20-Pay Life
                B. Straight Life
                C. Renewable Term to age 65
                D. Life Paid-Up at Age 65


                Question 4

                Under the terms of a participating life insurance policy, an insurance company is required to:

                A. inform policyowners that their dividend surplus cannot be used to purchase additional coverage
                B. pay policyowners the apportioned divisible surplus only when the full amount is to be reinvested automatically
                C. annually ascertain and apportion any divisible surplus to policyowners, beginning no later than the end of the third policy year
                D. notify policyowners of interest options available


                Question 5

                Which life insurance product combines flexible premium characteristics with investment performance based on separate accounts selected by the policyowner?

                A. Decreasing Term Life
                B. Credit Life
                C. Variable Universal Life
                D. Ordinary Whole Life


                Solutions:

                Question 1
                Answer: B
                Question 2
                Answer: A
                Question 3
                Answer: A
                Question 4
                Answer: C
                Question 5
                Answer: C

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