Insurance Licensing Ok-Life-Accident-and-Health-or-Sickness-Producer Exam With Confidence Using Practice Dumps

Amodified whole life policyfeatures premiums that arelower than typical whole life premiums during the initial years(e.g., first 3–5 years) to make the policy more affordable early on, thenhigher thereafterto compensate for the initial discount while maintaining lifelong coverage. This is a variation of whole life insurance, as defined in Oklahoma’s regulations (Title 36 O.S. § 4002).

Option A: Incorrect. Premiums do not decrease in the last few years; they increase after the initial period.

Option B: Incorrect. Premiums are not higher in the last few years compared to typical whole life; they adjust after the initial period.

Option C: Correct. Premiums are lower initially and higher thereafter.

Option D: Incorrect. Premiums are not higher initially and lower later; the opposite is true.

Most life insurance policies include asuicide clause, typically lasting 2 years in Oklahoma (Title 36 O.S. § 4004), which limits the insurer’s liability if the insured commits suicide within that period. If suicide occurs within the clause’s timeframe (e.g., 13 months), the insurer is generally not liable to pay the death benefit and instead refunds the premiums paid. However, the question emphasizes the policy’s expressed provision limiting liability, suggesting no payout beyond premiums, making “not liable to make any payouts” the most accurate choice. Insanity is not a standard exception unless specified.

Option A: Incorrect. While premium refunds are common, the question emphasizes no payouts, aligning with the provision’s limit.

Option B: Correct. The insurer is not liable to make any payouts due to the suicide clause.

Option C: Incorrect. The full value is not paid within the suicide clause period.

Option D: Incorrect. Insanity is not a standard exception in suicide clauses unless explicitly stated.

In Oklahoma, the minimum age for a person of competent legal capacity to contract for life and health insurance is18, as this is the age of majority under Oklahoma law (Title 15 O.S. § 13). Individuals under 18 may be insured (e.g., as dependents or under juvenile policies), but they cannot enter into insurance contracts themselves unless emancipated.

Option A: Incorrect. Age 15 is below the age of majority.

Option B: Incorrect. Age 16 is below the age of majority.

Option C: Correct. Age 18 is the minimum age for contracting insurance in Oklahoma.

Option D: Incorrect. Age 21 is not required; 18 is sufficient.

This question falls under the Prometric content outline section on “State Insurance Statutes, Rules, and Regulations,” which covers eligibility to contract insurance.